Manila Hemp

Title

Manila Hemp

Creator

Jurika, T. W.

Language

English

Source

The American Chamber of Commerce Journal Volume XXVIII (No. 12) December 1952

Year

1952

Rights

In Copyright - Educational Use Permitted

Fulltext

492 AMERICAN CHAMBER OF COMMERCE JOURNAL December, 1952 Manila Hemp By T. W. Jurika Acting General Manager Columbian Rope Company of Philippines, Inc. THE market was generally quiet overseas during the entire month of November. Manufacturers in both the United States and Europe seemed content to fall back on reserve stocks of fiber rather than meet prevailing prices asked by some exporters based on Davao producers’ reluctance to sell cheaply the reduced available supply. The situation approached the proportions of a major stale mate when mills in Japan also curtailed their buying to a certain extent. Other exporters were reported to have supported the bearish view of consumers by continuing to sell short their November/December position in consid erable volume at levels P2 to P3 per picul lower than they could cover at the time of sale. This was no doubt based on the rather universal misconception of a large amount of raw fiber actually available in provincial dealer’s hands. In several instances during early November, certain Davao presses suspended work completely for lack of fiber, while others continued operations at a greatly reduced tempo. Toward the third week of the month it became in creasingly apparent that dealers, resisting low prices, were being more successful in their holding-tactics than had been anticipated, and exporters became increasingly uneasy about being able to fill shipping commitments. Those exporters who found themselves oversold for prompt deli very proceeded to step into the market for whatever sup plies they could buy at whatever price it was necessary to pay. Prices in Davao during the last 10 days of No vember rose from a level of P42 to P49 per picul for J1-S2, and were still rising at this writing. No doubt this heavy buying on the part of short sellers has served to renew the holding-capacity of producers and dealers, who are now in a position to resume buying-in all available supplies of raw fiber as soon as it is stripped. It is conceivable that these will be very little “water over the dam” until possibly the second half of December or later. While the advent of the Holiday Season has always brought about a flurry of activity among producers, it remains to be seen whether or not this will result in enough production to permit a normal flow of fiber to market. In non-Davao areas, Leyte and Samar continue in very low production. Figures for the year so far show 1952 as being only 45% of the 1951 production figure. In the Bicol there has been some improvement due to the artificial *. F. Goodrich Truck Tires with Nylon Shock Shields axe designed to fit your needs HIGHWAY EXPRESS SILVERTOWN — ior long, fast hauls under heavy loads. Treads are wide and flat to put more rubber on the road to share the load . . . wear is slow and even. Hundreds of skid resisting curves on each rib edge give extra traction for greater safety. Nylon Shock Shields are built into each tire for greater bruise resistance. UNIVERSAL SILVERTOWN — for power wheels on trucks and tractors used to pull. For mining, quarry work, logging, dirt hauling, and other jobs where rocks and ruts and other hazards peril tires. Special rubber built into the tread and sidewall assure longer service even under the most rugged conditions. Double Nylon Shock Shields give extra bruise protection. Watch for the Sign of Eriendiy Service —more than 200 dealers throughout the Philippines December, 1952 AMERICAN CHAMBER OF COMMERCE JOURNAL 493 factor of typhoon-hemp being stripped and pressed. As soon as the typhoon-fiber has been stripped, a short sup ply is expected to prevail in the Bicol for the next year. As this goes to press, we have reports that Davao City was the scene of a disastrous fire the night of December 1, wherein Smith, Bell & Company’s press warehouse and fiber stocks were completely destroyed. In addition, about 5,000 piculs of raw fiber still in middlemen’s hands in out side bodegas were also destroyed. Exports for October indicate Japan easily maintaining its position as the No. 2 major consumer of Philippine fiber. We list below baling and export figures for the period January'October inclusive: BALINGS — JANUARY. OCTOBER INCLUSIVE 1952 1951 1950 1949 1948 Davao................................... 430,270 418,688 313,883 179,930 170,693 Albay, Camarines, and Sorsogon........................ 123,015 212,975 147,638 98,243 147,881 Leyte and Samar............. 104,294 143,051 104,459 88,029 93,835 All other non-Davao. .. . 65,321 81,352 64,614 62,598 98,032 Totals.......................... 722,900 856,066 630,594 428,800 510,441 EXPORTS — JANUARY, United States and Ca nada.................................. 263,213 Continental Europe......... 131,370 United Kingdom............... 76,891 Japan........................... 143,297 South Africa....................... 6,750 China.................................... 5,518 India..................................... 4,240 Korea.................................... — Australia and New Zea land................................... 1,550 All other countries........... 230 OCTOBER INCLUSIVE 501,375 323,319 164,510 230,381 137,119 109,074 79,544 91,782 149,826 70,124 31,485 54,870 112,206 58,245 87,993 115,301 14,150 5,550 3,627 3,157 6,289 11,767 11,809 10,085 5,282 6,730 3,100 1,823 — 3,100 — — 1,900 1,826 1,601 42 — 747 80 2,853 Totals.......................... 632,059 928,147 590,482 383,749 510,294 plus...................................(x) 81,840 713,899 (x) Adjustment as made by the Fiber Inspection Service in its Export Report. 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