Copra

Market Affected by Gold Currency Uncertainty

THE copra market continues as a puzzle to Sydney traders. All world condi tions suggest that it should be rising: instead, it remains sluggish. The Uni lever combine dominates the situation.

Little items of significant interest reach us occasionally. It appears that the Uni lever organisation, in recent weeks, has been controlling the German market.

Prior to that, Germany was virtually an independent buyer.

Uncertainty regarding gold currency countries —especially Holland and France —is an important factor. There is much speculation regarding the Dutch guilder.

Every time it is suggested that Holland will go off gold, Dutch copra producers rush in to sell. The Dutch East Indies produce 350,000 tons of copra annually— one-quarter of the world’s supply. Need more be said?

France is trying to balance her budget Government economy measures are con vulsing the nation. This must react upon the influential Marseilles market.

In their circular of June 2, Messrs Faure, Blattman (London) said: “It is possible that we shall see these fluctua tions for some little time to come, but we are still of the opinion that later on this year the value of copra will stand higher than it does to-day.”

Other, and more recent information, in that there is a shortage of fats developing in the United States, and that purchases of oil seeds and oils have been much below normal in Central Europe.