Copra and coconut oil

Title

Creator

Day, Kenneth B.

Language

English

Source

The American Chamber of Commerce Journal Volume XXVII (Issue No.11) November 1951

Year

1951

Rights

In Copyright - Educational Use Permitted

Fulltext

DISTRIBUTION OF LUMBER AND LOGS EXPORTED TO THE UNITED STATES FOR THE MONTH OF SEPTEMBER, 1951 BY REGION Lumber in Bd. Western States Eastern States SHIPPER Basilan Lumber Co., Inc........... 412,441 Bislig Bay Lumber Co., Inc.... 245,475 Dahican Lumber Co., Inc......... 680,743 Gen. Enterprises, Inc................... Gulf Lumber Co., Inc................. Insular Lumber Co., Inc............ 324,401 318,289 Jose S. Rico.................................... Marsman Development Co........ 172,604 36,500 Montenegro, Felix......................... Nasipit Lumber Co., Inc........... 266,583 315,843 Reynaldo Lumber Co.................. 89,375 Sta. Clara Lumber Co., Inc.... 170,463 Ft. All Others Logs in Bd. Ft. Western Eastern Gulf States States States Totals Gulf States 747,706 301,562 1,055,656 51,267 1,160,147 245,475 982,305 51,257 1,055,656 221,912 180,964 1,045,566 215,382 215,382 209,104 500,036 500,036 582,446 89,375 400,000 570,453 Totals........................................ 2,272,700 750,027 221,912 180,964 2,104,924 500,036 666,639 5,507,202 As released by the Bureau of Forestry, the volume of logs and lumber exported during the month of September was as follows: Shipper Destination V Lumber 'ol. in Bd.Ft. V Logs ol. in Bd.Ft. Agusan Timber Corp................... Japan 1,499,986 Anakan Lumber Co., Inc.......... Japan 1,199,995 Basilan Lumber Co., Inc........... U.S.A. 412,441 747,706 Bislig Bay Lumber Co., Inc.. . Japan U.S.A. 245,475 399,344 Arturo Soy....................................... Taiwan 954,506 Bureau of Prisons......................... Japan 750,403 Cagayan Lumber Co., Inc........ Japan 483,672 C. Luna Enterprises,-Inc........... Japan 625,340 Dahican Lumber Co., Inc......... U.S.A. 680,743 301,562 Domingo Abarro & Sons........... Japan 500,109 Elias Pacudao................................. Japan 1,178,717 Felix Montenegro.......................... U.S.A. 300,036 Francisco Boix............................... Japan 359,198 General Enterprises, Inc............. U.S.A. 51,257 Gulf Lumber Co., Inc................. U.S.A. 1,055,656 Hercules Lumber Co.................... Japan 1,095,487 Insular U.S.A. 1,045,566 Lumber Canada 78,986 _ Company, Eire 69,013 Inc............................ Hawaii 164,504 Jose S. Rico.................................... Belgium S. Africa U.S.A. 9,462 184,405 215,382 Marsman Development Com U.S.A. 209,104 pany ............................................... Japan 99,882 Misamis Lumber Co., Inc......... Japan ' 1,100,148 Nasipit Lumber Co., Inc........... U.S.A. 582,446 North Camarines Lumber Co., Inc.................................................. Japan 999,806 965,096 Pan Asiatic Commercial Co.... Japan Paniran Sawmill Co..................... Japan 352,140 Pata Sawmills................................. Japan 450,277 Reynaldo Lumber Co.................. U.S.A. 89,375 Sta. Cecilia Sawmills, Inc.......... Hawaii 45,410 Sta. Clara Lumber Co., Inc........ U.S.A. 170,453 400,000 Sta. Clara Lumber Co., Inc.... Japan 1,600,014 Surigao Timber Company......... Japan 753,632 West Mindanao Lumber Co.... Israel Japan 15,136 391,750 Woodcraft Works, Ltd................ Hongkong 200,181 Totals........................................ 4,185,564 18,842,037 Resume of exports to: Lumber Logs Japan........................................ 14,800,996 United States and Canada 3,722,503 3,071,599 Other countries..................... 463,061 969,442 In the local lumber markets prices dropped down price. They can not afford to close down for a month or two, as the small sawmills with 10 or 20 men generally • do when prices fall so low as to leave no margin for them. Scores of small mills supplying Manila are now closed until such time as they can again realize a profit. another P10 for tangile and P20 for apitong and lauan from the prices reported last month. Thus recent arrivals are sold as follows: tangile Pl60, apitong and white lauan Pl40. Some sales have been reported at prices lower than these, but such must have been distress transactions which at this time can take place. The only hope of producers is the coming of the dry season when the desire to start construction will again be aroused. Wide fluctuation in prices is disadvantageous to the bigger sawmills, which must carry on irrespective of market Copra and Coconut Oil By Kenneth B. Day President, Philippine Refining Company, Inc. September 16—October 15 THIS period, during the height of the copra season, was one of almost daily fluctuations both in copra and oil prices, until toward the end, when the general deterioration in international conditions resulted in a firmer tendency, more demand, and higher prices. While a good deal of copra was traded, oil demand was very limited and chiefly in driblets, particularly in the United States where millers had hoped for better things. The story is not a long one. From a start of $182.50 c.i.f. Pacific Coast, copra fluctuated its way up to $190 at the close. Actually a little business was done at $195 the second week in October. In Europe, the pattern was the same, and prices moved irregularly up from $213.50 per long ton c.i.f. at the start, to $225 at the close, with $227.50 recorded as the highest trade. During the period there was a steady and continued demand from West Germany for sterling-area copra, particularly from Singapore. This tightened up sterling markets to a point where offerings were difficult to obtain. Legitimate German demand has increased spectacularly this year. As so often happens, with improved outside markets, Philippine copra prices again achieved the doubtful distinc tion of being the world’s highest. A good deal of this condi tion was due to a heavily oversold position for September/ October shipment by two or three speculators who were forced to cover in their commitments at full prices. For tunately for them, supplies were adequate to take the edge off what might otherwise have been a run-away market. In Manila, local prices advanced from P32 to P35, and Cebu quotations were about the same or a shade higher. Coconut oil trading was spasmodic and difficult to gauge. Coast prices for tank cars f.o.b. ranged from 13-1/2/ per lb. at the beginning to 13-7/8/, sellers ideas, at the close, with highest reported sales 13-3/4/. Very little East Coast oil was sold, with prices advancing from 14-1/2 to 14-7/8 c.i.f. New York. Early in the period, a little dis tressed bulk oil was traded at 14/. Thereafter, sellers held for 14-1/2/ or better, which was too stiff a price to attract buying interest. Meanwhile European demand for oil was desultory, although normal quotations advanced overall from $315 to $330, with a few small parcels traded in between. 380 November, 1951 AMERICAN CHAMBER OF COMMERCE JOURNAL 381 From the Philippine viewpoint, the bright spot of the period was copra cake and meal. Coast demand was brisk and business was done from $71 per short tori c. and f. up to $75, with the likelihood of higher prices to come. Another ECA allocation of dollars to Denmark resulted in trades as high as $90 per long ton c.i.f., but greater volume was deterred by space shortage and a better coast market. z^opra production was heavy and September shipments '“'excellent, recqrding a 1951 peak of over 81,000 tons, nearly 60% to the United States. Oil was down a bit from August and so were cake and meal, but nothing to worry about. The figures reported follow: Coconut Oil United States Atlantic................................. 4,676 long tons Europe................................................................ 1,565 ” ’’ Africa (Durban).............................................. 256 ” ” Total........................................................... 6,497 long tons Copra United States Pacific.................................... 33,349 long tons United States Atlantic................................. ’ 8,662 ” ” United States Gulf........................................ 3,614 ” ” Canada/Pacific Coast................................... 2,000 ” ” European ports................................................ 26,190 ” ” Africa.................................................................. 50 ” ” Central and South American ports .... 7,150 ” ” Total........................................................... 81,015 long tons Copra Meal and Cake Honolulu....................................... 225 long tons Pacific Coast.. . ............................................ 5,846 ” ” United States Atlantic................................. 302 ” ” Europe................................................................ 750 ” ” Total........................................................... 7,123 long tons tt is expected that freight rates on copra and oil to the ■•■United States, in sympathy with increased costs and general advances, may rise by $1.50 the end of January. qo much depends on international conditions these ^days. If tensions increase, as they have been doing, prices harden immediately. If conditions improve over night, the steam goes out of the market. On October 15, as we close, the world appeared in sorry shape. Therefore markets were tight and sellers were confidently expecting better prices. As a clincher, dealers were expecting the beginning of the seasonal production-decline in November and were recalling that for three years now November prices have advanced. They were inclined to play this hunch. But a brightening picture in the worlds’ trouble spots, together with the possiblity of adverse market effects from the new American tax-bill, could change all that— and but quick! Certain it is that consumer demand for oil in the United States is very discouraging and is showing few signs of improvement yet. And while coconut oil is reasonable in Europe, when dollars are available, it still looks high to American buyers, thanks partially to our bete noire, the excise tax. Desiccated Coconut By Howard R. Hick President and General Manager Peter Paul Philippine Corporation THIS report covers the period from September 15 to October 15, during which time most desiccated co conut factories continued on reduced production or were Access to the Markets of the World NATIONAL CITY BANK offers quick access to world markets through 48 overseas its own — more overseas branches than other American banks together. long established correspondent important banks throughout the branches of those of all In addition it has relationships with world. THE NATIONAL CITY7 BANK OF NEW YORK Jirit in World-Wide dSanfeing Branches in the Philippines MANILA Main Branch: Juan Luna Street Port Area Branch: 13th Street PAMPANGA: CLARK FIELD CEBU: CEBU CITY

pages

380-381

Media