WOOL-PRICE COLLAPSE

Wanganui Chronicle, Volume 80, Issue 275, 19 November 1937, Page 11

WOOL-PRICE COLLAPSE

DAMSON’S COMMENT CROSSBRED FUTURE DIFFICULT LONDON, Nov. 17. Dawson's commenting on the wool sales, say that the cause of the collapse seems to go back two or three seasons, when Japan purchased in excess of immediate requirements. The Japanese Minister of Commerce is now reported to have restricted wool imports from all sources. A most difficult future confronts the crossbred section of the trade. There is little prospect that a stable basis will be. reached until the New Zealand season is well on its way. The reasonable figures to which Merino have fallen suggest that crossbreds cannot maintain anything like their recent values. Merino combing fleeces seem to have reached a point at which trade should move freely. Several months may be needed to clear the debris caused by the collapse of primary commodities, including metals. Yesterday’s opening of the wool sales was most disappointing. No satisfactory quotable basis for wool was established and buyers' and sellers’ views were totally divergent. DEMAND FOR BETTER KINDS LONDON, Nov. 17. At the wool sales 8271 bales were offered, including 3229 from New Zealand, and 6884 were sold. There was a fairly good selection and a keen demand (or better kinds from the Home trade and the Continent. New Zealand greasy crossbred HK, top price, 12d; average, 12d.