PRICES IN NEW ZEALAND

Wanganui Chronicle, Volume 76, Issue 167, 18 July 1933, Page 4

PRICES IN NEW ZEALAND

prices for food and clothing in New Zealand have recently shown an increase. This is to be expected because the market in these commodities is settling down. At the end of last year the period of forced liquidations had not quite exhausted itself, but that has apparently been brought nearer. During 1931 there were 847 bankruptcies; during 1932 the number had fallen to 661. During the first five months of last year there were 305 bankruptcies but only 188 during the corresponding period of this year. In May, 1932, there were 61 bankruptcies, but only 42 during the same month of this year. The operation of the high exchange has also had a steadying effect on prices. Not only are imports higher to clear, but the quantity of importation has decreased because of the uncertainty of the position. The cut-throat competition has perceptibly eased, and with increasing prices for primary products likely to eventuate in London, there is a steadying influence exerted in meat, butter and cheese in New Zealand. The situation is, of course, still obscure, but the growing atmosphere of confidence is distinctly noticeable. If a more satisfactory basis of trading were possible immediately, then there is no doubt but that there would be much more business doing and more employment as well. The chief obstacles Io business to-day is the instability of the exchange situation.