SOLID SENSE OF SATISFACTION

Southland Times, Issue 23677, 28 November 1938, Page 6

SOLID SENSE OF SATISFACTION

GROWERS’ VALUATION EXCEEDED FINE WOOLS SHOW FALL IN PRICE (Special to The Times) AUCKLAND, November 27. Early bids in the first catalogue offered at the wool sale were sufficient to show that a healthy tone was likely to rule throughout the sale, and the prices realized by crossbred soon brought pleased smiles to the faces of growers. In the gallery there was certainly not the same atmosphere of elation which was apparent at the opening sale of the 1936 season, when prices soared by about 60 per cent., but there was a solid sense of satisfaction that the bulk of the wool was bringing a fraction of a penny more than expectations, and, as the sale progressed, this was reflected in the almost total clearance under the hammer. It was the demand for crossbred which was mainly responsible for lifting the average price above that realized at the opening sale last season. On that occasion there was a marked fall from the almost “boom” values of the preceding year, and growers were reluctant to meet the market. Passings were more frequent than sales, and the average price worked out at 9.37 d per lb. A marked change in outlook was noticeable on Saturday. The majority of the growers, it appeared, had valued their clips on a basis of last season’s rates and they soon found that the buyers’ limits were appreciably above their own valuations. This was all the more marked because the fine wools offered showed a substantial fall in price, so that the advance in the case of crossbred was proportionately higher. LESS FINE WOOL There was less fine wool offered on Saturday than was the case a year ago, and, as a result, the falling prices in this quarter were more than compensated for by the higher rates offered for coarser sorts, which easily comprised the bulk of the offering. This particular feature led one expert to state that it would not be surprising if this season the average price a bale for the North Island exceeded that for the South Island. Such a result would be most unusual, but it would reflect the current trend toward rearmament, which is generally held to be reflected in the keen demand for coarser wools. As for the quality of the wool, buyers for the most part agreed that it was well up to the average for the first Auckland sale. The opinion was even expressed that the results of the facial eczema epidemic in the Waikato last autumn had not affected to any marked extent the quality of the wool offered, although it was agreed that a quantity of the clip had probably suffered. From all appearances, the sale was dominated by Bradford end the Continent, with French and German buyers particularly active Only two Japanese buyers attended the sale, and they were there apparently with only a watching brief. They occupied seats on the back tier of the buying benches, and although they did not offer a single bid their pencils flew over their catalogues as they kept a minute check on price movements. However, the fact that Japanese buyers were not directly engaged in bidding has no great significance. The practice of Japan is to place commissions with representatives of big buying houses which have practically a world clientele, and in some quarters on Saturday it was held that Japan was again operating, although not to anything like the extent as in 1936-37, when her orders stormed the market. Bidding throughout was exceptionally keen, although the pace was set by half a dozen of the leading buyers, who appeared to secure the bulk of the offering. Often their bids were advanced by a halfpenny at a time, instead of the usual farthing, and on numerous occasions all the principal contenders were on their feet at once employing all their vocal and physical powers in an-effort to force their offers on the auctioneer.