The Savannah morning news., 1903-05-01

The decline in turpentine that Is
interesting naval stores producers
throughout the belt in Georgia, Flor
ida, Alabama and further west, again
demonstrates that to oil questions
there are two sides Since the slump
has exceeded all expectations, the trade
everywhere is interested, and particu-
larly the producers, who are Ie-
ceiving explanations giving different
reasons for the drop.
Information obtained by the Morn
ing News yesterday as to the actual
maximum market for turpentine, may
throw light on the drop from a legiti-
mate standpoint. The present price of
45c. is being compared with 65c. The
maximum Quotations on the Board of
Trade at the opening of this season,
which was generally admitted to be the
result of manipulation. This price was
claimed to be above the level at which
the stuff could be taken at profit by
exporters, and the daily purchase
while the market was at this level
represented from fifty to 100 casks. so
far as the actual value of turpentine
was concerned csc. about compares
with Northern Pacific at $1,000 on the
New York Stock Exchange at the cul-
mination of the last bull boom in Sc
curities.
The Exporters side OF 1t.
A naval stores exporter stated yes
terday that the highest price paid for
spirits at Savannah for the legitimate
export demand was 5212c per gallon,
which may be regarded as the maxi
mum so far as the actual export value
was concerned. Sales above this price,
he claimed, did not represent the real
value Of the product. This shows a
decline at the present price from the
legitimate high point of about &c. In
view of the substitutes which are be-
ing put upon the market and used by
consumers. the exporters do not regard
the decline as excessive.
Two Diverse Views.
Trading in turpentine at the closed
markets affects the Savannah market
adversely" said MIR. J. p. Williams,
president of the ]. P. Williams Com
pany.
Trading in turpentihe at the closed
markets does not affect the Savannah
market adversely" said w. C. Powell,
president of the Consolidated Naval
Stores Company.
From more than one standpoint these
views represent the sentiment and con-
ditions as they exist in the naval stores
market, with some factors entertain
ing one view and their neighbors an
other Numerically opposite. 1t is no
exaggeration. to say that confirmed
opinions along the same line are not
held by Others in the trade, who differ
in their ideas as to the effect of the d.
versions to Florida ports, differ as to
what the price should really be, as 10
the cause of the present declines and
the extent to which they may go.
The turpentine operator is becoming
more interested in the market now
than probably ever before in the his
tory of the industry, for factors arc
receiving letters showing that producers
everywhere are watching the Savan-
nah market and desire to act such nart
as will make them aiders in checking
the decline, which UP to now reaches
20c per gallon from the ton at the
opening of the season a month ago
Some say shipments should be consign
ca 10 savannah. the basic market, while
others say this is having no effect upon
the market. and that wherever the
producer ships prices will seek their
natural level.
Mr.. Williams Opinion.
Mr., Williams does not believe that
the laws of supply and demand are
regulating the present market. Dis
cussing conditions broadly without ref
erence to any particular port, Mr.. Will
Hams said that the larger the con-
sumption supplied outside of the Off
cial or basic market the more the de-
preston upon that market, and con-
sequently the lower prices will go.
Owing to the srnallness of the stock
at Savannah, due to the decrease in the
consignments to this market, buyers
have at times been forced to seek sup
plies elsewhere, and to this extent have
removed the demand from this mar
ket. And they have by the changed
conditions been supplied so far this
season apparently in way that Keeps
them from the competitive bidding
which prevailed when practically the
entire of the demand was supplied
through the local market
"Thwart competition by whatever