THE RISE IN WOOL.

Wanganui Herald, Volume XXXVIII, Issue 11422, 2 December 1904, Page 4

THE RISE IN WOOL.

It seems to be generally agreed that- tho only explanation of the continued risp in wool valhcs is the shrinkage of stipplies and the heavy orders on ' the Home and Continental markets in connection witli the war. The rise appears to be a legitimate one. The cable from the Agent-General, published in last evening's issue, states that the London sales closed firm, all th© lines were cleared, and, the prospects for the future were good. A Home paper to hand by the 'Frisco mail says that every: .. where the number of sheep has "been declining. In 'the United Kingdom there has been a considerable decline in, tho^ flocks, and home-grown wools have in many cases about doubled in value 'dtfring the last two years. On the Continent of Europe the falling off has-been much .more marked, for in the German Empire 'ajone the number of sheep during the last thirty years has fallen .from 25,0001000 to 10,000,000. . Now, statistics are coming to hand which- show that in the United States and Canada, also, the same process lis going on. But, of course, . the, chief factor in the present position has- been the terrible havoc caused among the flocks by the late seven consecutive 'years of ."drought in Australia. Out of 106.000,000 sheep, more than half succumbed, and shipments of wool fell away from about 1,600,000 bales, at which', they- stood* in 1894, to about 1,000,000 bales during- the wool year which ended, on June 30th last. Ths effects have been very serioiis. Scores of thousands of English work-people have been badly, hit, by this short supply of wool. In Australia not only have thousands of pastoralists" been ruined, but it is estimated that shearers ( and other .station hands last year earned less by half a million sterling than they did ten years ago-

The substantial rise in the price of wool wilj- greatly benefit New Zealand sheep-g»owers. For instance, in Wellington last week wool sold at 9Jd and lOAd per pound, which a few years ago was worth only 4Jd to 5Jd. All descriptions of wool arc selling at advanced figures,

but the greatest increase has been in the

coarser grades. Crossbrods arc now about :<3O per cent higher in value than this time

last year, and other wools about 15 per p cent. Only 'about twice within the past ten years have the present figures been touched, and in neither caso did the iucrease last long. Indications point to the fact of the advance being maintained, but prices have reached a dangerous height, and there is no saying when there may be a turn for the worse, although the fact

that the supply of wool is certainly not in excess of the demand is decidedly cheering. It is estimated that the increases will mean a rise in value of at least a million or a million and a quarter for the whole colony.