COMMERCIAL

Star (Christchurch), Issue 19116, 8 July 1930, Page 15

COMMERCIAL

F MARKETs!' fD

INTERMEDIATE CREDIT DEBENTURE ISSUE. Per Press Association. WELLINGTON, July 7. The Hon G. W. Forbes announced today having approved of the first public issue of debentures of the Rural Intermediate Credit Board, necessitated by the absorption of £4OO,OCX) which was advanced from the Consolidated Fund to start the scheme. SUGAR PRODUCTION. A FIJIAN VIEW. (Special to the “Star.”) AUCKLAND, July 7. , The annual report delivered by the president of the Suva Chamber of Commerce, Sir Maynard Hedstrom, contains a quantity of interesting information affecting not only Fiji but also other sugar-producing parts of the Empire. The president said: “ The output of the five Fiji mills in 1929 was rather less than 90,000 tons, which was a satisfactory figure having regard to weather t conditions to which the crop was subjected, and was a considerable improvement on the estimate in force when my report to you was published early in March last year. For the coming season it is expected that 90,000 tons will be exceeded if weather conditions remain favourable. Damage to crops at Nausori and Labasa by flood and hurricane respectively was fortunately not serious, the major losses at these centres being incurred on buildings, floating stock and sugars in store and awaiting shipment. The world’s price for sugar during the last few months has been the lowest for some decades, and no improvement in the market can be expected until over-production ceases or consumption overtakes production. As far as Imperial sugar is concerned, the hopes of British producers are centred in more favourable fiscal conditions being granted in order to enable them to compete successfully with their foreign competitors in the markets of the United Kingdom. That the British Government realises , the seriousness of the position is evidenced by their appointment of two commissions of inquiry, one for. the West Indies and one for Mauritius, at the former of which a representative of the Fiji sugar industry attended. Before the war barely 8 per cent of the sugar requirements of Great Britain were drawn from Imperial sources

owing to increased production in the British dominions and colonies and the fostering of the beet industry in the Mother Country. The proportion has now risen to nearly 40 per cent. This improvement is the direct result of the fiscal policy of the British Government during recent years in regard to sugar, and leads to the hope that the present Labour Government will hesitate before making any radical change in tariffs. The collapse of the sugar industry would not only adversely affect the unemployed problem in Great Britain, but would impose on the British nation the responsibility of assisting financially sQme colonies which are at present self-supporting.” WOOL TRADE. THE OUTLOOK REVIEWED. Writing from Sydney. Winchcoir.be, Carson, Ltd., said:—A year ago weakness in the wool market was to a great extent attributable to the existence of surplus stocks largely In the form of tops held at Continental centres. At the present time no shortage in those semi-manufactures is apparent, but demand for them has more than kept pace with the quantities produced. At the close of March stocks of wool In the United States, Including the .quantities in course of transit to that country, were 10 per cent less than a year before. To a degree the improved statistical situation in regard to supplies may be due to the slower speed at which the Australian clip has been marketed, but making allowance for that circumstance, the position of the staple In itself looks healthier than it did a year ago. Marketing troubles do not now appear to be so much a matter of the actual wool outlook but rather a question of the world’s general financial and commercial condition. The recent Brisbane conference estimated that the quantity of wool Australia produces during the coming season will be 112,000 less than last. year. The estimate a year previously was for a decrease of 102,000 bales in the current clip, and It proved approximately correct. In brighter days it could be safely considered that a decrease of 214,000 bales in two years would send prices up. Reduced supplies have no doubt helped in keeping demand for the staple generally active, but by no stretch of imagination can they be regarded as having sent prices up decidedly this season, nor at present can they be anticipated to do so next season unless a marked change In the world’s fortune occurs. At some time the wool market and the condition of sheep owners’ profits will improve. An Interminable array of poor years is not ahead. But we are strongly of opinion that until definite signs of a general revival in world commerce becomes apparent, the pastoral industry should not anticipate larger earnings through higher wool prices and should keep expenditure in check accordingly. Competition from the Continent and Japan continues keen and the season appears likely to close with rates in the vicinity of recent levels. COMPANY AFFAIRS # CARRERAS DIVIDEND. LONDON, May 29. Carreras prosperity is almost traditional despite the relative youthfulness of the company. Unlike many large concerns with remarkable dividend records which have had to report reduced earnings in the past year, Carreras seem well able to hold their own in the face of competition and depressed trade. Earnings during the first half of the current year have apparently been well maintained, for the interim dividend on the ordinary, “A ” ordinary, and “B ” ordinary shares Is again to be 15 per cent free of tax. For the year to October 31 last the interim dividend was followed by a final payment 035 per cent, making a total of 50 per cent tax free. A capital bonus of 25 per cent was distributed as well, so that the present interim calls for a proportionately larger disbursement, while the higher rate of income-tax adds to the gross value of the payments. MEAT TRADE. PRODUCERS BOARD REPORT. The New Zealand Meat Producers Board has received the following cable from its London office, dated July 4, | advising that the following are the approximate average prices realised for the week, based on actual transactions of wholesale quantities of the descriptions of meat inentioned, and are for representative parcels of the goods offering during the week, being for business done on the basis of delivered to Smithfield Market and (or) ex London stores. Prices for the two previous weeks are also shown:— Frozen Mutton. July June June 4. 27. 20. Per lb. Per lb. Per lb.

Lamb Market.—Good demand for best quality, but second quality weaker owing to competition from heavy stocks of Argentine and Australian. Mutton Market.—Wethers continue weak, with lower prices. Heavy stocks depressing market. Ewes—Trade slow; demand is only poor. Beef market is quiet with prices slightly easier. New Zealand Porker Pigs.—No deI mand owing to hot weather. Baconer I pigs—Stocks are light; nominal prices. national Mortgage and Agency Company’s Report. , _ LONDON, July 5. Lamb.—Prime 2’s and second quality lambs, market slightly easier. Others unchanged. Mutton.—The market is very weak.

Cross-bred Wethers d. d. d. Maiden Ewes— Canterbury and North. Island selected— 4S-561b 45 5 55 57-tiilb 4 J 4g 42 65-721b 41 45 42 North Island— 4S-561b 41 57-641b 4S 65-7 21b 43 4i 4 1 48-641b 22 n 65-721b Trozen 2g -'g ~1 Canterbury— 361b and under... 85 37-421b S* Si 85 4S-50Ib 81 si Second, avg. 331b 71 8 South Island— 3 61b and under... 8:1 85 85 37-421b sg Sg 43-501b Si North Island selected (including: Si Si Downs)— 361b and under.. . 9 05 37-421b 81 Si s* 43-5011) Si 8 4 Seconds, avg:. 311b North Island, first— 361b and under. . . SE sg 37-421b 84 8 g Second, avg'. 311b S Victorian, first— 361b and under... 37-421b Argentine, first— 361b and under... 62 37-421b Prozon 64 6 i New Zealand— Ox fores ....... 3& 3 Ox hinds 5 Australian— Ox crops, over 1001b si 3g si Ox hinds, over 1601b 51 51 Chilled Beef. Argentine— Ox fores Ox hinds Prozea 71 Pork. 7 i 71 New Zealand— Prime porker— 60-lOOlb 101-1201b Prime baconer— 121-1801b 6f 7 7