Manila Hemp

Title

Manila Hemp

Language

English

Source

The American Chamber of Commerce Journal Volume XXV (No. 4) April 1949

Year

1949

Rights

In Copyright - Educational Use Permitted

Fulltext

162 AMERICAN CHAMBER OF COMMERCE JOURNAL April, 1949 September ............ 4.17 3.85 3.85 16,500 ” March, 1950 ......... 3.49 3.24 3.23 8,800 ” Contract No. 5 March ..................... 5.43 May ....................... 5.36 July ....................... 5.35 September ............. 5.34 November ........................ December ............. 5.28 March, 1950 .......... 4.94 Total ......................... 105,800 tons 5.21 5.20 32,300 tons 80,750 ” 5.18 5.18 5.17 5.17 108,600 ” 5.17 5.17 53,300 ” 5.18 ... ” 5.22 5.14 200 ” 4.78 4.78 1,600 ” 276,750 tons Total Local Market. (a) Export Sugar. The price advanced to P13.25 in the early part of March, and then fell to P13 following the trend of the New York market. With the recovery of the latter market, however, there has been an active demand for export sugar here at steadily advancing prices. At the close, there are buyers at P13.35 per picul, ex mill ware house. (b) Domestic Sugar. PRATRA is reported as a buyer of domestic centrifugal sugar at P16 per picul, ex mill warehouse, and the provincial market seems to have stabilized itself at that price. Latest Manila quotations are P16.50 per picul for centrifugal sugar and from P17 to P18.50 per picul for the various grades of washed sugar. General. The effective period for the freight rate of $15.50 on centrifugal sugar from the Philip pines to United States Atlantic and Gulf ports has been extended from April 30 to June 30, 1949. Our 1948-49 milling operations are proceeding normally. Indications are that the crop in Luzon will be below estimate. In Negros, a few districts are running over estimate, but drought is affecting the cane in others. Manila Hemp By H. Robertson Vice President and Assistant General Manager, Macleod and Company of Philippines THIS review covers the period February 16 to March 15, 1949. During this time abaca prices declined steadily, both in consuming markets and in the Philippines. An unusual feature has been the severity of the decline in Davao values in the Philippines which amounted to some P6.50 per picul in the more common grades, as compared with a de cline of only P0.50 per picul in the corresponding non Davao grades. This has resulted in certain Davao grades being offered currently in New York,at i/2ft to 1<* under the price of these non-Davao grades. The present state of affairs must right itself soon by a decline in non-Davao values or a firming up in Davao. Davao hemp almost always demands a pre mium over non-Davao. The cause of this unusual feature is believed to be the existence of a substan tially oversold position in non-Davao hemp and the scarcity of the better non-Davao grades other than G and JI. The United States market has ruled dull to very weak throughout the period, with Davao exporters pressing to get ahead with sales at a time when con consider offset printing FOR MORE SPEED MORE VOLUME MORE VERSATILITY a o V April, 1949 AMERICAN CHAMBER OF COMMERCE JOURNAL________ 163 sumers were displaying no interest. Non-Davao of ferings were small and prices nominal. Relatively little non-Davao business was done during the period. SCAP bought both Davao and non-Davao grades quite heavily on the decline. Purchases made by SCAP of non-Davao G and JI were made at prices cheaper than those which exporters had to pay in the provinces to obtain their fiber. This would be under standable if SCAP bought for forward shipment, but their purchases are for prompt shipment. At no time did SCAP purchases of non-Davao G and JI re flect the provincial values of these grades. Demand from Europe was scattered, but was probably up to the level of the past two months. The following nominal provincial values on March 15 illustrate the trend of prices over the period. Per Picul Basis Loose Davao I . . . P62.50 — Down P6.50 per picul from February 15 Davao J1 . 61.00 — ” 6.50 ” Davao G . . 55.00 — ” 5.00 " Non-Davao I 64.50 — ” 0.50 ” Non-Davao G 47.00 — ” 0.50 ” Non-Davao K 28.00 — ” 1.00 ” New York quotations on March 15: Per lb. C.I.F. Neiv York Davao I . . . . 281/->(1— Down l1,if1 per lb. from February 15 Davao JI . . . 28 Vat1 — ” Hit1............................. Davao G . . . . 25% ” I’hC ” ” ” ” ” Non-Davao I . 29<* — ” lit1 ” ” ” ” ” Non-Davao G. 22 ” ” ” ” ” Non-Davao K. 15f — ” %<* ” ” ” ” ” Production for February, 1949, was 45,841 bales — a decrease of 956 bales from January, 1949. NonDavao balings totaled 30,578 bales — up 3,009 bales from January. Davao balings were 15,263 bales — down 3,965 bales from January. Tobacco By the Conde de Churruca President, Manila Tobacco Association THE Tobacco News for January brings the fol lowing information from the United States. “Cigarette exports for the first 9 months of 1948 totalled 18,176,000,000 pieces valued at $49,252,000, compared with 16,688,000,000 pieces with a valuation of $43,628,000 for the January-September, 1947, period. The increase in shipments may be attributed to growing demand in many foreign countries for American-type blended cigarettes. “The chief market outlets for United States cigarettes during the first 9 months of 1948 were: the Republic of the Philippines which purchased 8,225,000,000 pieces; Belgium and Luxemburg, 1,405,000,000; Curacao, 884,000,000; Tangier, 715,000,000; and Switzerland, 615,000,000." We quote these figures because they emphasize the importance of this Republic, a natural tobacco producing country, as a consumer of imported ciga rettes. We have reason to believe that most of the ciga rettes imported are the higher priced brands which are selling at over P3.50 per thousand, and consequent ly do not seriously compete at the moment with the local cigarettes, most of which sell at lower prices. The average sale of local cigarettes is about 1,440,000,000, a year, as compared to the 10,000,When home is uncomfortably warm, a PHILCO air-conditioner is really welcome for cool, comfor table ventilation. PHILCO gives you cleaner, fresher air with less noise! You find it difficult to work when hot and list less ... a PHILCO air-conditioner brings you a constant, gentle flow of refreshing air. In of fices, windows can be closed eliminating dust. Work is a pleasure! PHILCO Single-Room AIR CONDITIONERS PHII.CO MODEL 91-C. A new single-room conditioner in a beautiful walnut console. Ample power to serve lurge living rooms and offices up to 500 square feet maximum. 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