THE WOOL SITUATION.

Wanganui Herald, Volume LIII, Issue 15752, 26 February 1919, Page 2

THE WOOL SITUATION.

CHANGING RAPIDLY. (Per United Press Association.) WELLINGTON, February 25. The Hon. Guthrie, Acting-Minister in charge of the Department of Imperial Government Supplies, has received a cable from the Secretary of State for tbe Colonies stating that the wool aitu-' ation is changing rapidly in all parts of the world since the armistice was signed. Contracts for military woollen equipment have been freely cancelled. In the United States and Die United Kingdom demands for civilian woollen goods have not yet tally taken the piaoe of military orders, and the wool markets are eomewhat depressed. There are buyers at 1918 prices, and sellers are not ready to accept the prices which the buyers offer. Tbe Government has decided not to buy the British 1919 clip. British, South African, Bast Indies, and South American wool is sold in British markets without restrictions. Australian and New Zealand wool held by the Government under the purchase scheme srill be auctioned in London, and will b© open to all British and Allied buyers. Reserved prices will be fixed somewhat below, the present Bradford issue prices. It is intended that the first auction shall be held early in April. It is not thought possible to handle by London auctions more than from 100,000 to 100,000 bales mon&ly, which might not be sufficient to meet the demand. The Government therefore proposed to continue to issue additional quantities of wool, concurrently with the auction sales, to British and Allied buyers at fixed issue prices, revised from time to time as required. Until April 30th at feast the prices will be maintained. Mr Guthrie remarked that the cables showed clearly the wisdom of the New Zealand Government’s action in recommending the acceptance, on the part of New Zealand producers, of the Imperial Government’s offer to purchase our products for a definitely extended term.