But, on the other hand, in the Sydney district alone, the trade in wool has already fallen off to the extent of several thousand bales--a deficiency, however, not as yet attributed to the diminished number of the sheep. It is supposed that the high rates of labour will operate chiefly in disinclining the farmers to extend their operations; and if this at the same time affords them leisure and motive to attend better to the state of their clips, it will ultimately have an effect rather beneficial than otherwise. Australian wool has hitherto been attainable by foreigners only in the English market; but it is a favourable symptom that two cargoes left Sydney last year direct for Hamburg. To shew the falling off in trade during the gold year, it may be mentioned that the exports of wool in the two previous years were about 52,000 bales; and in 1850-1, about 48,000. There was likewise a deficiency of about 6000 casks of tallow, and 3000 hides. It is interesting to notice, that preserved meats are sent from New South Wales to the neighbouring colonies and to England in considerable quantities. Timber for shipbuilding is rising in estimation in the English market. Australian wines are said to be fully equal to Rhenish; and a Vineyard Association has been formed for the purpose of improvement. Wool, however, is at present the great staple; and the Circular seems to derive some consolation from the idea, that if the crop should continue deficient, prices in England will probably be maintained. 'To anticipate the future prices for our staples,' it says, 'in a market open to so many influences as that of Great Britain, is almost impossible; but it may be well to point out the causes which are likely to affect their value--we allude more especially to wool. We have stated that the production thereof, in New South Wales, is likely to be checked by the attraction of the gold-diggings; and still further, by the gradual abandonment of indifferent or limited runs, which formerly supported a large number of sheep, but which will not pay to work at present prices of wool and labour. Therefore, if we bear in mind that Australia has furnished half of the entire quantity of the wools imported into Great Britain, and that the English buyers have hitherto been purchasing in anticipation of a large annual increase from hence, which for the present, at anyrate, will not be forthcoming, we think we need be under no apprehension of lower prices than the present.'