56 NEW SOUTH WALES. 



wlLolesale grocers^ and pi'oviders liave experiouced a similar change in 

 the order of things. Not only has the retailer undertaken to represent 

 some particular house in London or on the Continent, or it may be in 

 America or the East, but the pastoralist or agriculturist, prompted by 

 the same example, has taken upon himself the task of importing or 

 indenting his own woolpacks, cornsacks, or fencing wire, though it 

 does not always follow that he makes the best bargain by so doing. 

 Indeed, it not unfrequently happens that the would-be importer, un- 

 acquainted with the vagaries of foreign markets, pays higher prices 

 than he would by filling his order on the spot. It is sufficient for 

 him, however, that he has bought first-hand, no matter how much it 

 has cost to do so. 



These observations are sufficient to show that the modus operandi 

 of import is easy, and that it obtains very largely among traders 

 quite independent of the acknowledged import trade. The result of 

 all this has been distinctly to the advantage of the consumer; 

 moreover, the splitting up of bulk operations has brought general 

 business nearer a cash basis, and at no previous time has general 

 trade been in a more healthy condition than it is at present. Profits 

 have certainly been narrowed down to a very small margin, and 

 importers look to turning their stock over three or four times a year 

 at 3 to 5 per cent, rather than once or twice at larger profits. Keener 

 competition has meant being in closer touch with the world's markets, 

 buying sparingly, and limiting credit, and the sequel has been the 

 purification of trade and the stronger growth of confidence. 



The comparatively independent position which importers occupy 

 with relation to each other has given rise to a want of unity as regards 

 current prices, and merchants are more inclined to sell on the basis 

 of individual cost than on actual import values, as compared with 

 prices ruling at export centres. This has no doubt done more to cur- 

 tail bulk business than any other cause, as in the most buoyant mar- 

 ket sellers can always be found willing to quit at below recognised 

 ruling rates. Between the advantages for export and the rapid transit 

 to this market, the opportunities for controlling local stocks do not 

 often present themselves, and it is only by reason of the light stocks 

 carried during the ^^eriod of fiscal uncertainty that extra j)rofits have 

 been secured by '' buying up the market." 



The purification which trade has undergone with the experience of 

 a retail class of business has not been without its disadvantages, the 

 most prominent of which may be considered the increased cost of dis- 

 tribution. In past years it was the custom of the country trader to 

 purchase supplies sufficient for three, six, or even twelve months' re- 

 quirements. Now, however, orders are generally made up of a few 

 cases of each line, to be renewed again from time to time. The cost of 

 handling has necessarily become greatly increased, and buyers' prices 

 have become weighted with extra expense in the way of selling charges, 

 freight, and packing. The return to a short, permanent tariff, how- 

 ever, may be considered likely to remedy this evil in a general way, 

 although it is most unlikely that the distributing trade of the Colony 

 will ever return to what may be called a " bulk basis." 



The currency of low prices and over-competition has stimulated a 

 number of efforts among importers to combine for the purpose of 



