FAILURE OF AUSTRALIAN WHEAT CROP. It is now realized beyond doubt that the Australian wheat harvest for the coming season will be a failure, and must be followed by heavy importations of food stuffs from foreign countries. Competent authorities have expressed the opinion that during the next season fully 200,000 tons of breadstuffs must be imported from various wheat-producing centers in order to meet the harvest deficiencies in the Commonwealth. In order to convey an idea of the situation, it is necessary first to consider the producing capacity of each State. From the statistical matter compiled by Mr. Coghlan, it is shown that in the harvest of 1902 the wheat produced in the various States of the Australasian group was over 42,584,423 bushels, made up as follows: In New South Wales the crop last year was fairly good, but the present season provides the gloomiest outlook that the State has known for many years. The food and seed requirements of the State are computed at 9,000,000 bushels, which would leave 4,500,000 bushels available for export on the figures of last season's crop. This season's wheat, however, will not reach 50 per cent of the quantity reaped last year, so that not only will there be none for export, but there will be from 1,500,000 to 2,000,000 bushels less than are needed for home consumption and sowing. In Victoria, the crop last year yielded 12,127,382 bushels, while the present harvest is estimated at 2,948,750 bushels, to which may be added 2,998,953 bushels of old wheat on hand, making a total available supply of 5,946,953 bushels. But before the harvest can be gathered at the end of the year, Victoria will need 7,884,882 bushels of wheat for food supplies and 1,700,000 bushels for seed purposes, so that, instead of exporting, the State will have to import. about 3,637,929 bushels of wheat to supply her own needs. The position in South Australia is somewhat happier, inasmuch as the crop is estimated to be enough for home consumption and to No 269-03-5 yield about 4,000,000 bushels for export. Queensland, West Australia, and Tasmania have suffered seriously, and will be entirely. dependent on imports, the crop being inadequate. It is estimated that fully 200,000 tons of breadstuffs will have to be imported into the Commonwealth States to cover the demand. Already, 15,000 tons are afloat for New South Wales, the majority coming from California. San Francisco is the natural port for Australia to look to, but California flour has risen since Australian orders went to the market, and, at present, values stand at a level which almost precludes purchase. The effect will be to divert a good deal of trade to Canada, which can supply hard wheats of a class well suited to mix with California flour. During the past few days merchants here have been making inquiries in Russia and India, where crops are good, and also in Argentina and Europe. While the price may rise, it is not thought likely that it will reach an abnormal level, as Canada is well supplied, and both grain and flour can be landed here at figures which will prevent any extreme inflation of values. From a purely local standpoint, the interest lies not only in the possibility of a dear loaf, but in the effect on freights. The absence of wheat and wool export should tend to throw a fair amount of tonnage to the coal trade. The wheat which must be imported will, on a basis of 3,000 tons per cargo, necessitate the employment of about 60 vessels, and as no outward cargo is available for these craft they will most probably be thrown upon the coal market. It may pay them better, however, to proceed in ballast direct to a nitrate or wheat port than to carry a cargo on a freight so low that it leaves no margin of profit. NEWCASTLE, November 11, 1902. F. W. GODING, Consul. WOOL TRADE IN AUSTRALIA. Australia has long been noted for the excellent class of its sheep. Formerly, the best wool was produced in Spain, the mild. and equable climate favoring it. New South Wales was first stocked from Spanish flocks, and it is said that in this climate the wool has gradually grown softer, more elastic, and longer than that produced in Spain, and so has gained a high reputation. In 1891, there were 61,831,416 sheep in New South Wales, the greatest number on record, and it is considered that the country was at that time overstocked. The total amount of wool said to have been produced in this State in 1891 was 375,600, 667 pounds. In 1894, there were 4,000,000 less sheep, but 4,000,000 pounds more wool. There has been an almost constant decrease in the number of sheep down to the present time. year has been the most disastrous of all. The total production of wool in New South Wales for 1900 is stated at 237,659,727 pounds, which is less by 137,940,940 pounds than in 1891. The export of wool from the Commonwealth in 1900 was 409,394,600 pounds; from New Zealand, 156, 174,000 pounds-total from Australasia, 565,568,600 pounds. The estimated value of the clip was about $88, 500,000. The sales at Sydney (387,358 bales *) were disposed of as shown below: The average price realized was £9 11s. ($46.47) per bale. As to the present condition of the wool trade, I herewith submit a statement from the Sydney Morning Herald. SYDNEY, October 25, 1902. ORLANDO H. BAKER, Consul. OPENING OF THE WOOL SEASON. The opening of the 1902-3 wool season last week was conspicuous from two or three standpoints. The quantity of wool available was much lower than was at first anticipated. As to the quality, the selection was not extensive enough to judge the whole of the coming season's clip, but it was sufficiently large to show that many of the clips will this year exhibit to a more or less extent the evil effects of the prolonged drought. On the other hand, there were a few clips that appeared to have stood the drought really well, and these will be in the best of request. Shortage of merino wool. From all quarters, the same report is heard that merino wool will be scarce. The arrivals in Sydney to date show a falling off of between 70,000 to 80,000 bales as compared with the corresponding period of last year. The number of sheepskins that are being offered each week is enormous, running into hundreds of thousands. They are largely from the country, having been taken off sheep found dead on the runs, or off those killed for the sake of the pelt. Small lambing. The lambing shows an alarming decrease as compared with the previous autumn. The percentage for the whole State is as low as 20%, which is no less than 49 per cent below the previous corresponding record. Take that decrease and 1 bale 300 pounds. add it to the decrease of grown sheep-given at something over 8,000,000—and we have a poor outlook for anything like a large quantity of merino wool. Prospects. Owing to the ravages of the drought, good quality sound wool will be scarce, and will for that reason be in extra-strong demand. Other classes, also, owing to the limited production, will sell well, but nothing like to the same extent as the better wools. The condition of the wool will be light, and that will help towarp higher values. Crossbreds have had a bad time, and the future does not appear to be too rosy. They are fetching prices now that are practically at bed rock. This does not affect us to the same extent as it does New Zealand and Argentina, where crossbred wool is largely grown. The only possible chance for an immediate rise in such goods would be a change in fashions. NOTES FROM NEW SOUTH WALES. American sheep.-What is, perhaps, the first shipment of pure American Spanish Merino sheep from America to this State since 1886 has arrived to the order of a firm at Bathurst. The shipment, which comprises six ewes bred in Vermont, arrived in excellent condition. The wool is considered very good, and the animals are judged to be a fine class to breed from. Majolica ware.-A successful effort to establish the majolica-ware industry here has just been made. A mantelpiece costing $750 has been placed in the office of the attorney-general and is pronounced as of a very superior quality. The Government is using every means to encourage this industry. British preferential trade.-The attempts of the Federal Prime Minister to promote preferential trade with Great Britain have met with a cold reception by the business men, and all are of the opinion that the Federal Parliament will make no move in the matter, such a thing being considered inimical to the best interests of the people of Australia. Suffrage.-Woman's suffrage is now a fact in New South Wales, but as yet the women do not take kindly to it. In this district, thirty-nine women only have taken out electoral rights. Drought.-A copious fall of rain has ended the drought, and the people are hopeful that good crops will follow. F. W. GODING, NEWCASTLE, October 23, 1902. Consul. LAND TAXATION IN NEW ZEALAND. The land taxation act was passed by the general assembly to afford local bodies the opportunity of adopting the principle of rating which is expressed in its title. It is entirely at the option. of the bodies to adopt the system, and provision is made for a return to the old system of rating, if desired, after three years' experience of the new one. The act provides that a proportion of the ratepayers on the roll (varying from 25 per cent where the total number does not exceed 100 to 15 per cent where the number exceeds 300) may, by demand in writing, delivered to the chairman of the district, require that a proposal to rate property on the basis of the unimproved value shall be submitted to the ratepayers, whose votes shall be taken between twenty-one and twenty-eight days after delivery of the demand. Under the original act, it was necessary for a minimum number of one-third of the ratepayers to vote, and a majority of their votes carried the proposal. Now, under "the local government voting. reform act, 1899," the question of adoption or otherwise is decided by a bare majority of the valid votes recorded, irrespective of the number of ratepayers who have voted. A rescinding proposal can be carried at a poll by the same means as one for adoption, but not until after three years have elapsed; and, vice versa, rejection of a proposal bars its being again brought forward for a similar period. However, in the case of past polls, at which the proposal to adopt the act was rejected solely on account of an insufficient number of votes, it is provided that a new poll may be held at any time. The valuation roll is supplied to the local authority by the valuator general under the provisions of "the government valuation of land act, 1896," and its amendment of 1900, and the definitions of "capital value," "improvements," "unimproved value," and "value of improvements" found in these acts apply also to the rating in the unimproved value act. Provision is made for the adjustment of rating powers given under previous acts to the act of 1896 by fixing equivalents. Thus, a rate of 1S. (24.33 cents) in the pound ($4.866) on the annual value under former acts is to be considered equal to 3 farthings (1.5 cents) in the pound on the capital value under the act of 1896. The adjustments are to be made so that the rates on the unimproved value shall produce as much as, but not more than, the rates under the rating act, 1894." For instance, if a local authority has 66 |