THE WOOL CRISIS

Taranaki Daily News, 14 May 1925, Page 7

THE WOOL CRISIS

CURTAILMENT OF SALES. BRITISH POSITION EASED. TONE MORE CHEERFUL, By Telegraph—Pre«B Aesn.—Copyright London, May 12. Th© Yorkshire Post’s Bradford correspondent says that the curtailment of the sales has lifted the load off the market. Manufacturers were fearing that the continuity of the sales would cause a further decline in prices and with their financial resources locked up in heavy stocks, stood aloof. Thus the position of consumption and trade was made to appear worse than it actually is. This is all the result of lack of confidence in wool values. Nobody now disputes that there is no wool famine really. Tt was a recognition of this fact which caused the recent decline in values as uneconomic in the extreme as was the reverse experience in November. A good many millions were lost in the first half of the season necessitating assistance in either financing or carrying over stocks to the second half. Mr. Akroyd, a past president of the Bradford Chamber of Commerce, In a letter to the Yorkshire newspapers protesting against Sir Arthur Goldfinch being quoted as an authority on the wool situation, says that Sir Arthur has now assumed the position of adviser to the wool trade. “I feel I am expressing the feeling of the whole textile trade when I say we are heartily sick of his assumptions regarding the rise and fall in stocks of wool. It has been proved without ques tion that the wool trade cannot be conducted with paper and pencil in an office. Those who have been foolish enough to follow Sir Arthur Goldfinch’s guidance during the last six months are at present suffering bitterly therefrom. “I respectfully suggest that the time has come for him to retire and leave the textile trade to look after itself, as the continued fathering of an industry of such magnitude without experience in the textile trade is more than any of us are prepared to accept.” In reply to this letter, Sir Arthur Goldfinch says: ‘*l have been watching the wool position sine© 1921 as a delegate and representative of a large section of the Australian wool-growers. My diagnosis of the position from 1921 to 1924 proved to be singularly accurate, but I acknowledge that this year the course of the market has been running counter to my expectations. This only proves that I am not infallible. I intend to continue to watch the ‘wool position and comment publicly thereupon whenever and m whatever manner I consider right.” The wool-growers are now carrying a surplus, but it will be fatal if grower© yield to outsiders with a taste for war-time control. If values can be stabi’ised on the presetit basis for a period business in tops, yarns and piece goods, so far held back, will soon be placed more freely. Already the tone is more cheerful.