BETTER WOOL PRICES

Sun (Auckland), Volume III, Issue 806, 29 October 1929, Page 10

BETTER WOOL PRICES

INCREASE EXPECTED RUSSIA BUYING HEAVILY

Wool prices are as low as they can possibly go, and the possibilities are that there is almost certain to be a slight rise in prices at the coming sales.

This is the opinion of Mr. G. Hodgson, of James Hodgson and Sons. Ltd., woollen merchants, who returned by the Ulimaroa this morning after a trip to England and the Continent. The wool market has been in a most unsettled condition for the past two years, Mr. Hodgson said on the boat this morning. When he left England the merchants were quite satisfied that prices would not go au.v lower and the market was firming. They anticipated that at this year’s sales there would be a slight rise, due principally to the activity of Russian buyers on the open market. Mr. Hodgson mentioned that the Continent now controlled the wool market. This prerogative had formerly belonged to Bradford,

For the last two years the Continental buyers had bought tile largest quantities of wool and Bradford had had to take second place. Englishmen had taught the Continentaf men all they knew about wool, with the result that they now controlled the market. On the Continent. Mr. Hodgson found that the mill-hands worked hard for 10 hours a day, but in England they worked for only eight hours. In England, too, he found that certain of the mills worked only half-time and in the majority of eases a third of the looms was lying idle. Although there were signs that prospects were brighter when he left Mr. Hodgson said he found that England did not seem able to compete with the Continent. Russia was now buying heavily and this had been responsible for improving the market. The Russian purchases would probably have a good effect on this season’s sales. Australian tariffs had made a big difference to the manufacturers in England. One manufacturer told Mr. Hodgson that he had formerly done business amounting to £120,000 a year with Australia, hut since the tariffs had been increased his business had fallen away to £15,000 a year. Australia now manufactured a’ large quantity of the material she formerly imported. Artificial silk had also affected tlie English market and nad reduced the quantity of fine wool used in the making of the finer dress materials. Australian fine wools now brought the same price as those from New Zealand. However, there would always be a market for such wool. Mr. Hodgson said that he did not find the same friendly relationship existing in Prance since the Hague Conference. Her attitude to England was vastly different to that before the war.