WOOL TRADE REVIEW

Southland Times, Issue 17619, 6 April 1914, Page 2

WOOL TRADE REVIEW

BItISBAXK wool, SAB US. A ITUTIiKR ADVANCE. The much-expected Brisbane wool Mies have come and passed (says the Sydney Daily Telegraph!, but they have left behind" (hem a feeling of confidence in the future value of the raw material, which can only tic the direct outcome of bona fide trade requirements. In the general sense of the term there lias been practically no speculative buying on the part of the trade, hut this cannot he said of the action of quite a number of manufacturers selling ahead tops and yarns at 111-ices altogether out of proportion to the stand in cost of the raw material. The greater proportion of these sales were made during December, but the constant shrinkage in the quantity of raw material available, finally brought, into the, market even most pessimistic operator, N’o doubt much of the business that is going <>n in and around Yorkshire at the present moment is either being carried through at a loss, or on no profit. The holder of wool at the moment commands the situation. The .topmakers and the spinners with large commitments in the way of tops and yarns to deliver at staled dates must have the raw wool with which to carry out his engagements. If trade brightens up still further there will lie increased competition for the available raw material which topmaker and spinner are in such urgent need of. There has been a complete somersault in the doings and prospects of the wool trade when one compares last December with the present month. December looked gloomy enough for anything, whilst during Hie course of February and March prospects have, from a wool-grower's point of view been constantly brightening. Another point which is going lo exert its influence upon the market is the change in the attitude of American manufacturers. They have wiped the tears of vain regret from their eyes, and have backed up sufficiently to contemplate carrying war into the camp of their opponents. The manufacturers of Furope are not going to have the American wool trade handed over to them without a serious struggle. Any share that -may come to them for the genera! range of goods, will only corneas a result of severe competition. Special goods will. ot course, always find a special market, hut such goods do not hulk largely. At the moment American manufacturers not

only mean to hold their own trade, but many of them seriously contemplate inroads into outside markets, in which they have not been previously operating. To carry out such a plan supplies of the raw material will be needed. American manufacturers have certainly not. at their command a sufficiency of the raw material, to enable them to carry out any such. project as that hinted at. Probably the scheme is really only so much bluff, so dear to the heart of most American writers. If American manufacturers can • only cheapen the cost of the article they will find use enough for their industry in tneir »vn country. Their average use of woollen goods is only one-third of what is used in the great European countries. There is no need to go outside their own coontry. as it should be quite possible for’ them to produce a good material at hail its- previous .cost. The only reason fo» the restricted use of woollen materials in the United States has been the hitherto almost prohibitive cost: prohibit!vei' that is, to the great mass of the people.