Great Falls tribune. [volume] (Great Falls, Mont.) 1921-current, 1922-08-03
THE WORLD SUPPLY
OF WOOL


THE world supply of wool is
short. 1t is short because
flocks of sheep the world over have
been growing smaller. High prices
for wool will stimulate the wool
growing business in the world. but
it is going to take some years to
do this. Therefore the outlook
for the wool growers for Montana
is good for the future. irrespective
of the tariff which has very little
to do with the price the Montana
grower of wool gets for his product.
If he doubts that statement let him
compare the Boston price with the
free trade price in Lcndon and he
will find that they rise and fall to-
gether, and that there is never any
great margin between the two, be-
yond the extra transportation cost.
Senator Lodge of Massachusetts,
comes from a wool buying instead
of a wool producing state, but he is
interested in the wool tariff from
the wool manufacturers point of
view. In a recent speech in the
senate he admitted that a tariff on
wool would not alone act IS q
stimulant on wool growing by in
~creasing the price. He stated that
increased consumption was a nee
essary factor in raising the price of
raw wool. We believe that he is
correct in that opinion. The price
of raw wool in Montana depends
more on the relation Of supply and
demand than on any tariff. Of
course if the world supply was ex-
cessive and the price low, a tariff
might operate to keep up the price
in the United States as long as the
American supply was below Amer
lean consumption. That is not the
case now. 1t never has been the
case as far as we are informed.
The Springfield Republican, like
Senator Lodge, views the wool tar
if largely from the wooden manu-
facturer's standpoint, but it fur
nishes US with facts and figures
concerning the worlds shortage of
wool that will be of interest to
Montana flockmasters. It says:
Senator Lodge was correct in
telling the senate that tariff duties
alone would not suffice to stimulate
the wool growing industry. The
worlds total production last year
was less than the average pre-war
production by approximately $751;
00o, 900 pounds. North America pro-
duced less last year than the pre-
war average by nearly 100, 900, 900
pounds, and South America less by
about 125.000,0 900 pounds. Austral-
asi too, fel off by some over l00,-
100000 pounds. Europe, including
Russia and Turkey, showed dimin-
ished production, as was to be ex-
pected, on account of the war, but
the decline in regions not directly
affected by the war is much more
significant.
"A British authority on wool pro-
duction thinks that the declining
output in the River Plate republics
Of South America, which have been
very large wool growers, is due II
the growth of the population and
the increase of railroad facilities,
which stimulates the cultivation Of
arabic land and dairy farming. This
authority adds that the River Plate
countries were estimated to pro-
duce $4,000, 900 pounds before the
war but in 1921 the figures were
(, reduced to 33l, 200, 900 and very lit
tie above 800, 200, 900 can be ex-
pected this year.
THE tendency in South America
toward lessened production simply
parallels earlier conditions in the
United States, and in all new coun-
tries. Perhaps the chief hope for a
largely-increased production is in
Siberia when that portion of Russia
again enjoys stable government.
Senator Lodge regards the restora-
ton of small flocks by American
farmers throughout the country as
desirable if the American wool
growing industry is to be preserved,
but present economic tendencies do