More Natural
Rubber Being
Used In
World
World production of natural rubber in the first half-year is estimated in London to have been about 825,000 tons, on the basis of reported figures. Consumption has risen to 790,000 tons, against 735,000 tons in the first half of 1952.
The production picture is more obscure than usual because of the ban imposed by the Indonesian Government carly this year on the export of rubber on consignment, principally to Malaya."
Tin for immediate delivery declined the day before yester- day at one fime on the Ex- Statistically it has always The world consumption change
to £380 per ton, the | been necessary to take In- figures allow for Chinese lowest price except for a fewdonesian smallholders' ex-45,000 tons into Kuala."
part of 32,500 tons, and some ports us equivalent to pro-
shilling since the sturt uf Korean Wur bi 1950.
Reports today from Singapore duction, but this year even said there is widespread talk this approximation cannot there that a tin pool should be
|be regarded as a reasonable formed in Malayn in on effort
guide. to raise prices, thereby avoiding further mines closing down and a cause of unemployment.
The leading newspaper in Singapore, the Straits Times, yesterday urged producers, smelters and the Federation Government to get together im- mediately to consider the sug- gestion, as prospects for an in- ternational agreement were not considered optimistic. - United Press.
SINGAPORE VIEWS
Singapore, July 15,
Straits to the the Singapore tin price
Both the U.S. and Britain are adjusting their wheat policies to their respective positions and this month attitudes on the International Wheat Agreement. million in June and $21 million is determined solely by
The dollar receipt trùm EPU w be only $2 $10 million, compared with
In May.
an in June, the last month of
AUTIL selfiement of
To relieve glutted markets and storage, Aid from the US, normally Washington is subsidising U.S. exports up to mid-run lower in July and August August 1954 just as if the still unratified new the US, financial year, which Agreement were already in force. Even though includes it is not yet certain that the U.S. itself will ratify At least one of the seasonal it, 24 importing countries can already have the U.S. subsidy on 90 per cent of their import quotas for the 12 months ending July, 1954, under a still non-existent Agreement.
rise
ane.
features, tourism, will be worse In June: that month may still have benefited from Coronation spending In Britain, and it bare- ly suffered the beginning of the British seasonal tourist spending abroad.
in July and August than it was
of
According 'Times,
factors:
1. The amount of stock and offered;
two
for
-tin
2. The amount of bids and quantities wanted by pur- chasers.
The paper sald an obvious solution to the downward trend 111 the price of lin would be to withhold from the market about half. of Malaya's production which could be made into a pool from which the could be
released at determined
Rutomatically prict:
uned by the Malayan producers themselves. The Singapore market cons!- dered the idea good but its in- plementation is dificult, but they were frenly convinced of action the head of immediate rather than to wait prolonged negotiations.
On the other band the Chiræse
R
In in-
in the
I allowance is made, there fore, for rubber which is be- loved to be stocked doncsin, world output first half-year may have been as great as In the first half of 1952, when it was 857,500 tons. Indonesia unquestionably pro- duced more rubber than Malays, and a significant factor is that is Beiling more to the On the basis of estate produc tion and smalzolders
reported exports, the first half-year's out- put in Indonesin is some 330,000 bons, but allowing for the stock- ing up the true production may have been of the same order as In the first half of 1952, when It reached 383,000 tons.
sho
U.S.
HALF-YEAR SURPLUS
Jme
These estimonies, excluding the Indonesian stocking up, would show au aparent surplus for the Half year of some 35,000 tons only, und the bulk of this is bo.. US. stockpile based on forward lleved to have been taken by the buying late in 1952.
the Study
In London it is thought that Group estlinate of
a 1053 naturaj rubber surplus of 103,000 tons lu some 50,000 tons too high, even allowing for the fact that the second half of any always brings year
higher yields for seisonal renson.
Whether the US. stockpilo, is sull acquiring new rubber, an distinct from that already con- Опо treted for, is unknown, of the two targets mentioned 1.1m, tons--has definitely been
not but it in pased,
clear whether the higher target some- MALAYAN YIELD
times quoted of 1,25m. tons is Malayan yield has changed
in fuct bejag worked to. Hittle from January-June, 1952,
Tentative estimates of dollar when 'output was 280,000 tons. carnings from rubber,
Inude Estate production hay risch more difficult to calculate by slightly and smallholder out-th Indk of full Indonesian put has fallen, but the turnover statistics, are that the sterling is probably less than 15,000 tons.
area reserves will benefit to the extent only of $50m.-$55m. This would compare with $125m. In the first half of 1052,
World consumption has risen in the Arst half of this year to about 790,000 tons, compared with 735,000 tons in
The total for 1952 was $180m., the com-
for 1981 (when rubber reached The parable period of 1952. U.S. has used some 70,000 tons its peak price) It was $400m,
more natural in the half-year and for 1050 $342m. at 285,000 tons against 217,500
100,000 100,000
În 1952, but UIC. consumption fell slightly to around tons, compared with inst year.
consumption of na-
DOLLAR INCOME
It would not surprise London trade and producing spokesmen I 1953 turned out to have the lowest dollar income from natural rubber sales of
any
tural is to reach the level pro- Jected by its spokesmen attend- year since the war, and brought ing the May meeting of tho in less than the $125m. earned
in 1049. Rubber Study Group in Copen- hagen it will have to continue at the first half-year rate, as
consumption for 1953
WA5 estimated at $75,000 tons.
I the Agreement is ratified by † wheat
above the new all the countries which signed it, maximuni, as may happen when
NON-RECURRING the only country excluded from the post-harvest put passes off, the U.S. subsidies will be Britain.} and the congestion of U.S. For the
Part of however, storage is relieved.,
the reduction in the pinning Washington
the A failure of the U.S. maize, EPU surplus la June as well as the 24 to subsition
countries crop, if Washington is favoured in May might have been a non- which have already ratified or with
would
also help to recurrent filing of the British which it expects to ratify by relieve the glut of wheat. There banks pipeline of EPU currencies miners, who form about 40 per 15. Besides Britain, the list is no particular reason to ex- under the currency arbitrage cent of the Malayan producers,
If U.S. opposed to the were generally excludes 17 other countries, in- pect such a failure (the weather scheme which started on May 18.
the non-recurrence
idea of a local buster pool be- If so, cluding such important ones as in July and August is decisive
and August Leving that there should be an Brazil, Indonesia, Mexico, New for the maize erop and is un-this factor in July
Peru, Zealand,
international pool or nothing. much Philippines, predictable) and nothing
may offset some, of the seasonal
Meanwhile, in Kuala Lumpur Sweden and Venezuela, flowever, can he expected on the demand detractions in other fields.
Trade Union Coun- the it Washington
Maloyan the side of about the side
feed grain. 15 right
If high
If, as has lately appeared, the
ell yesterday decided to request list of 24 countries that it ex-incomes maintain a high demand outflow of reserves from the U.S.
Jan- Beets to ratify, and always sup- for meat, far, ers will eventually is to continue, Britain's reserves the Government that
investigate. in co- posing that the U.S. itself also raise enough livestock to cicar are unlikely to come
to much mediately
operation with the werkers, the ratilles, the Agreement will come the glut of grain: but they can-horm. But it remains to be seen
possibly of nationalising the into force.. The 24 countries not do it in time for this year, whether they will come to much fin industry. Reports emphasised
Inflation of the have aggregate import quotas of and the worst
of the good.
that they did not ask for in- which exceed demand for meat seems to be 9,290,000 tons,
Britain seems In June,
mediate nationalisation but The U.S. pig the minimum of 8,104,000 tons of over.
crop is the have got less than her share of merely an investigation of the
the the outflow from the U.S. import quotas (50 per cent of smallest in several years:
possibilities United Pres. the totall needed for ratification. only effect of the looming glut There is some reason to be- They do not entrmand the 70 of grain, so for, is to make lleve that, even if the outflow
which it not cent of the total
quile
small 50 per would have
needed for farmers originally intended. been ratification before the rules were
ARGENTINE PURCHASE changed in April (after Britain hind refused to sign).
The British Food ministry's re-
to
as
continues, Germany and some other non-sterling countries Than miky be more in line Britain to get most of it.
FACTS BETTER
Washington is taking a chance ported purchase of 80,000
not only on the ratification of tons of Argentine wheat for To some extent the recent the Agreement as a whole but July/August September ship-thrinkage in Britain's
surplus also on ratification by every one of the listed 24 countries,
LONDON PRICES
London, July 16. Tin prices broke, "bolli bost and three months falling £101⁄2 to 2013 per ton
The market sicodied at this level Turnover twas 130 cm, of which 75 were for cash. Clos-
ing prices:
Spot, buyers
Spot in, sellers ..
tment at £29.10.0 per ton elf may be a temporary result of Three months tin, buyers
impress the seasonal factors. would be very awkward indeed it may not greatly
on turned out to have North Americans with Britain's
1941-1941% 19732 2012- 200- 218-
of the
of the
subsidy to some country wi 4ater proved to be secure
Benson
the
Was
155*
1467-54 1300 14472 147
per bushel In urgency of this
markets and
flow
132'
more
Jr
concern
But, part of it may be a con- wisdom in not signing the Agree tinuing
result of Britain's re- her ability to cent
relaxations relaxations bement and with
wheat from
non- not only of the restrictions on was in the Ineligible for it. It was in
Agreement countries. This is Continental imports and tourism that buyers might Britain's
first purchase of but also. and perhaps dilemm otherwise have held off, wailing
whent for several important, of the firmness of for the ratification and for the Argentine
years. It may be the British her money policy. subidles. The U. S. wheatars
Food Ministry's last purchase
June However, the facts in surplus is so big, and the politics from anywhere, since its existing
the rather better than werees whent states
realocks are regarded as excessive.
The surplus with the gures. cannot afford a sensitive, that
The purchase appears to be a dollar area was reduced by a 6177-02%
yellow, peritia 1 u s. U. S. Agriculture transfer to Britain of Argentine transfer Com-(No.
to the U.S., in the Secretary
which wheat
Palustan had closing days of the month, of 65-05 bushet in cents)
t: "The importance bought in barter against jute but more than $22 million, in pay- candid about 72-77
of maintaining a continuous Bow which, after the US. gift of one ment for the large holding 561-571% July United Press.
Supal.
of wheat and flour to our foreiks million tons, Pakistan no longer a
Industrial a British Starch G4
particular needs. If so, Britain's payment Associated Electrical Industries May
wheat will Limited) repatriated to Britain for the Argentine Ky--(price
the harvest for of exports 01 exp
be in sterling to from its former U.S. owners cunts)
season make it highly advisable presumably
which
need (The American General Electric does Jelty
to offer export payments on Pakistan,"
sterling Supl
Company). Britain does Oats-(prie per bustiel in wheat and flour under the terms
not particularly The EPU surplus was Agreement the renewed of cents)
need the Argenting wheat either. fortuitously reduced by the ratification by July
pending official
As a demonstration of British payment, on June 30, of about Sept.
it is rather un-50 million interest on Britain's Independence Soybeans(price per bushel the U.S."
convincing. The quantity is less debt to the EPU in cents).
USUAL EXCUSE -
thon one week of Britain's IWA Spot-
Writing back These two July
The illegitimacy, if any, is only quota. Argentina has not much amounts, the surplus with re 2130 nominat Sept.
2 small
(the traditional more lo scil to Britain. Allowing EPU
have been about would Nov. Jan. 1045
excise). The stop-gap subsidy for quality, the Argentine price $13 million, and with the rest March
shade below the new be fund
only $716 may
per —♬ Lotal of $43 million which Rarley-(price per burhel In million, and the initial subsidy IWA maximum, but no cheaper of the world about $30 million
American wheat would
actually have rates on the major export routes than North
been with No. 1 RSS, spot unchanged New York ar-200 1b, sack, $1320 may be around zero, since present/which can also, at present, be higher than in May and rather
shipment prices at the U.S. Gulr bought at below the now IWA better and Atlantic ports range down maximum.
New York, July 15. Rubber futures closed today 20
to 30 points higher with sales of
27
ราก
contracts. Dealers
C
qusted smoked
:bed
sheets at 24 cents per lb. Pilves
of Futures were as follows:
No. Iss, cents per 1.
July......
September
Docenter
March 1851
May
July
September
21.65 hid
24,45
0
Kay
23.03 1, 24.06 United Press. LONDON MARKET
London, July 15. The rubber market closed dull cents)
7
at 10-7/10 pence.
as follows:
Spot Na. 1 R9S
Busines
Settlement
General market. e..f.
bir, No. 1 RSS
265% Rom. 2004-
20%
20016 237
130-160 nom.
Sput
Prlees were nom.-United Press,
10-11 11-10
103
104-1072
London, July 15.
Japanese bonds
"A" (45. of 1890)
"B" (45. of 1910)
Estate erepn July thick..
213,
-United Press.
Estate crepe July thia 21 porn
London Foreign Exchange
New York
Montreal
Amrordeni
Brussels
odo
Zurich
Copenhagen
Paris Stockholm Deutsche Mark
Blocked Mark
London, July 13..
2.1012-2.79)
10 04-106024
139.03-140.05 10.5412-19.3432
12.101-12.1845 10.344-10.50 1180-100% 14.014-14.02 11.00-11.7052 1842-10,00 -United Press.
to
5
one
amounts
cchts
to
bolow
πειν
than
Neuler.
also
Three months tin, peliers Business done at Settlement
580
50211
58215 BOS-300 300
-United Press.
Sugar Prices
In N.Y.
New York, July 15. World Number Four sugar closed today one point lower to two points higher with mics of 390 contracts.
Domestic Number Six closed two points one point lower to higher with sales of 54 con- tracts.
in world Steadiness futures
was coupled with a better tone in the rawa market. Dealers also thought a now In- tornational
ngreement will bo renched to stabilise the world sugar market.
Some quarters noted.... that Cube now has less than 900,000 free quota lang tons world sugar still unsold. Domestic futures ruled quiet and steady, Futures closing prices were as follows:-
Contract No. 4. (world)
July
Eeptember
October January 1054
Was expected. May
March
July
J
3.50 bid
September Spot cents per, th.
3.80 fo.b. Cuba)******
Contract No. 6
JAPANESE BONDS the U.S. Pace Cable, since could have obtained for shipment Shipping Companies sus
123
*** (53. of 1007) "D" (0, of 1924) Consols
--United Press.
nominal
И
6.23 5,50 nominal 337 btd BAS
HONGKONG
SHARE MARKET
(From Our Correspondent)
The sterling area dollar In- has declined for two come
col- reasons-parily the. price Japse from the Os id a pound peak of 1051 to the present is 74d, but also because the U.S. is taking more from Indonesia and less from Malaya.
In 1952 America Imported only 234,000 tons from Malaya, as compared with 900,000 tons In-1951-On-the other hand she from took 300,000 tons direct Indonesia last year, against 183,- 000 tons in 1951, and this trend continues.
One
factor accounting for this is that Indonesian shippera
Currency
the Stock have to sell to hard Business done on
areas. Local shippers in effect,. Exchange this morning amount-
scheme, e'd to $ 290,200. Noon quotations get a dollar retention and the morning's
fransac-providing an incentive to them to route their rubber direct to dollar buyers.
tions:
SHARES BUYERS 'SELLERS SALES
150
BANKS
HK. Bank.. 1315 1530 East Asia
INSURANCES
Contoa..... Valon
78755 703 K. Fire ...
SHIPPING
Asla Nav. DOCKS ETC. K. Whart Provident Wheelock
In addition. Indonesia pro- cessed more of her own rubber In 1052 than in 1951, rather than ship it of Malaya for this purpose.
The pending sale of the U.S. Government-owned synthetic
plants to private Industry unlikely to have any effect
on the course
142
..1.40
43
200
63% this year
12 13.30
8.65 0.70 3000
400
880
8.66 London much Interest
1000
1.65
3000 o 1.55
100017
100 4 24.90
LAND, ETC,
K. Hotel. 7.90 HK. Land
811, ahal Land 1.4715 Humphreya
03 200 03
1000
UTILITIES
From.... 24.80 Peak Tran
((718) ..... Peak Tr
25
(New)....
40
23
Star Verty G. Light (0)
124
1500
000 o 12.30 1500 12.30
500 13.40
12.30
C. Light (N) 8.40 1.00 Electric ... 20.86 20.70 190 a 24
Telephone .. 20.00.
INDUSTRIALS
1000
26.0
natural rubber prices.
of But in
centres
on U.S. reaction to the present prico level.
At the Study Group meeting
in May Americon
spokesmen suld__ That~~"even a relatively in rela- modest price decline tion to the present prices may. be expected to provoko a con- siderable Increase In the use of natural rubber in the U.S."
When that statement WE made rubber was almost 1s d a pound. It is now is 71⁄20.
SYNTHETIC POLICY
World. production of synthette 490,000
Cement 15.20 16.40 500 19.30 rubber reached about
STOREJ, ETC.
Fiatry Watson
Lane,
Crawford
COTTONE
Fo
AUTO 23 DO 1200 @ 22.70
lens in the half-year against 472,500 tons in January-June, was .soma Consumption 400,000 tons, against 447.500
21 24.50 500 24.40 1952. 24 241 100 @ 24.30 tons.
240 2.00
Textile Corp. 3.70 1000 5000 0.74 nominal MISCELLANEOUS
Yangiaze *** 0.83 0.30 1000
.F
America, the world's leading 8.70 consumer of synthetic, had a .76 combined natural and synthetic
consumption for tyre manufac £7·6.70|| bare in 1952 of 843,000 tons out of a total use of 1,261,000 tone, or just under 70 per cent, accounted
wheat the
The Argentine maxima. For shipments from certainly dearer than the present which Britain IWA maximum, rates will be market prices
September there are all in at least the Brst half of the
November May Get Aid above the new IWA maximum. July/September period.
Maret 1954 8414 But even this may not be very bolter by buying IWA wheat on wise, Britain could have done
May will sulice to
Talpet, July 15.- important; it 71
July The Nationalist Government Beptember maintain some movement of U.S. the basis of the present lower
4.78 November Greece,
and shipping authorities are whent and four from the Pacific maximum price from 101
Spot (cents per ib. Pacific Italy and Mexico, which together considering ways and means to and to Aslan
cit. NY ex-dock} 5.92 60% Orio
asalat Chinese shipping com-
United Press, large have about 600,000 tons of un- nat but
for the panics which are now suffering wheat and filled import quelas movement if Canadian whe flour,
усаг from
Vancouver, remain present IWA bolow the new IWA inoximum. 31, 1953, Germany this season taxati
esaro bought
· New York, July 18, most of her IWA personnel, subsidies pro has The U.S.
export
third
Dow Jones closing averages on countries, Mr. O. A Pierson, Mutual
Business was done in the font ter 235,000 tons. went for tyros designed to bring US export wheat from
unomicial exchange market this out of'n total, use of 383,000 prices down to, but not below, paying soft or clearing currencies Security Agency shipping ex Wall Street were as follows:-
noda instead of dollars. Buying from pert, who is in Talwan,
has
200.175), mivalne at the following retenim tons, or some 65 per cent, The the WA maximum, eo Canada
10061 | UB. dollar (per $13 (12)
9016 | *** A new Italian-Pakistani com-
Jarger Eituation but The Italy and Greece, through, the studied under-sell stni
49,00 | sterling note (per " TUNISIA
increase in: 18.ss relatively mercial
replacing can agreement,
100.55 | Indoneilan guliders (per 1001 .. 23.85 | non-lyre consumption reflects the trade pact which expired subsidies will have Importance European Payments Union, would declined, when approached, to statement.---France-
94.74 Glam teale per 100)
31.00 In particular a larger use3- of The market have cost Britain only 60 per cent makė. been only if and when on, December 31, has
139.49 Presse. prices of U.S. and Canadian in dollars-Reuter.
New Trade Pact
Rome, July 15,
Blyned here-France-Presse,,
Tyres have
for
ending July from out-dated ships, excesive NY Stock Exchange Exchange Rates are, and in the first quar
eason everloading with
tho
..
30 Industrials
20
0s Stocks
18 Ute
40 Bonda Comm. Price Index:
United Pres
Bingapore (Batts) FIC plastres (per 100)
this In
1.09 foam rubbers,