PRICE OF WOOLLEN GOODS

Timaru Herald, Volume CXXXVII, Issue 19803, 19 May 1934, Page 6

PRICE OF WOOLLEN GOODS

AS LOW AS LAST YEAR ADVANTAGE STILL WITH BUYER At a recent meeting of the South Canterbury Executive of the Women’s Division of the Farmers’ Union, a member stated that there was a great disparity between the price of wool off the sheep’s back and the price the farmer had to pay for manufactured woollen articles. At yesterday’s annual meeting of the Executive, the president (Mrs B. E. Evans) said she had obtained some information in the matter from a prominent business nian who had said that when higher wool prices commenced to rule, stocks of both raw wool and manufactured woollens were very low in New Zealand. The manufacturers claimed that all their existing stocks were absorbed in executing the orders then in hand. In consequence of that they were compelled to quote repeat business on the basis of new wool prices. While it was difficult wholly to substantiate the contention of the manufacturers, ample evidence of short stocks was evident in the extensive purchases made by the local mills at the whole series of sales. New Zealand mills played an important part in the raising of prices of raw wool, as their operations, particularly in regard to finer grades, were unusually heavy. In spite of the heavy advances in raw wool compared with 12 months ago, it was generally considered that woollen goods could be bought on an exceptionally good basis in the retail trade to-day. Instances of prices easily as low as those ruling a year ago were plentiful, and in only very few cases had rises been made to the public, and those only where increased prices had been paid. Some recent offers in blankets had been made at prices from 1/6 to 3/- a pair below replacement cost. Numerous examples of a similar nature could be given and, while it could not be denied that some goods were dearer, the advantage was still with the buyer.

Mrs M. Burdon remarked that she found it hard to understand why manufacturers had not purchased more wool when it had been so cheap. The subject was not discussed further.