On the other hand a painting of the Mad Hatter’s tea party (by Charles Blackman) also produced a stand out price which gave a breezy air of unreality to a market encountering uncertain economic undercurrents of the kind that can often buoy results when the economy becomes choppy.
The total market fell by $7.18 million to $103.09 million with only a few more minor sales before the year’s finishing line and one less Menzies sale which on past performance affected results adversely by over $5 million. But much of the decrease was in sales of works by overseas and unknown artists which fell by $5.39 million to $11.76 million.
But some of previous years’ preoccupations such as adjusting to artist's resale royalty and the portfolio adjustments required by the added restrictions on art in superannuation funds may now be less daunting.
On the debit side the much touted recovery in the market in Aboriginal art seemed less clear cut with a fall in its total contribution from $12.79 million to $8.44 million.
The figures of course are a more reliable indicator of activity than of price trends although with results running well in excess of expectations it leaves us in no doubt about the direction in which pictures that could be trophy purchases are heading.
These are governed by a variety of matters ranging from the three "d's” of death, debt and divorce to the very big "d" of discretionary trading. With interest rates so low and uncertainties so marked there must also have been a natural tendency to hold works back or consign them for private treaty making any failure to sell less public.
Interest rates could go in either direction although the biggest punt is that Trump will take them downwards but the latest seismic political events may be too recent to have any bearing on the latest selling.
The departure of the most conspicuous big spender, Sydney dealer Denis Savill was a plus in terms of activity adding $5.36 million to turnover of Sotheby’s and $1.015 million for Menzies. Savill’s buying frequently has been a big factor in auction successes.
Overseas sales also affected results through New Zealand, its total however bloated by the major sale of the Tim and Sharrah Francis Collection in Auckland on September 1 which grossed $NZ6.61 million.
This almost entirely accounted for the rise in total sales across the Tasman to $NZ26.39 million from $NZ20.09 the previous year.
Photography became a major player when Mossgreen sold the Max Dupain studio for $1.66 million.
Sotheby’s Australia toppled Menzies’ long reign with its total up from $22.98 million to $32.41 million. Menzies crashed from $31.58 million to $22.98 million after cancelling its usual final sale of the year.
Menzies only had 3 sales this year instead of the usual 4. Its three mixed vendor sales this year raised $5.5, $8.4 and 8.1 million, so a sale of the usual Menzies standard would have taken the total to close to $110 million. Shortage of fresh stock is one of the market’s underlying problems.
Sotheby’s sold Streeton’s Sydney Harbour featuring its highly profiled maxi yacht and Menzies sold Brett Whiteley’s Gauguin (also known as Portrait of Paul Gauguin on the Eve Of His Attempted Suicide, Tahiti), for $.2.24 million.
All of the top 10 lots for 2016 made over $1 million, with two selling for over $2 million whereas in 2015 only four of the ten sold for over $1 million. This has been taken by some as indicating a changing wealth pattern in favour of the wealthy - although some people evidently measure this by the increase in the average length of their maxi-yachts, which this year was substantial.
Big spenders still turn up at auction but depart as soon as they have bid; which may be as well for them. The NGA currently has an exhibition Versailles: Treasures from the Palace. Marie Antoinette was a representative of conspicuous consumption gone mad, and she was one of the first to lose her head when the revolution came.
Arthur Streeton, now free of any resale royalties, sailed home again followed by the Whiteley done after Gauguin after he had sailed to a new home in Tahiti.
Non-indigenous Australian art enjoyed two remarkable shows of respect during the year when one purchased by Australian expatriate hedge fund operator Michael Hintze from Deutscher + Hackett in 2015 (Snack Bar by Herbert Badham) was refused an export licence (the owner wanted to take it to London), and the loan by marina operator Jeff d’Albora of Arthur Streeton’s Blue Pacific to a watershed exhibition of Australian Impressionism at the National Gallery of Art in London.
Wealth watchers may also feel vindicated by the fall in the average price of sold lots to $7,724 from $8414 last year, although the number of lots offered 20,548 exceeded that of 2015 by around 1300. The top end became stronger and the prices at the bottom fell. While auctioneers are keen to lift the high margin top end business a lot of sullage is involved in rounding out their totals.,
The amount paid out in royalties under the resale scheme by the Copyright Council diminished slightly from $6.95 million to $6.12 million possibly as a result some of the costly Alice in Wonderland sales (from one related entity to another) disappeared from the books.
The second big spender who is no longer in the market is Ron Radford who as director of various galleries since the 1970s has been a major buyer in the market of Australian art.
The completion of a lot of deals which he had on the boil for some years was reflected in a veritable avalanche of buys in the year ended June 2015.
The NGA continues to spend and receive gifts despite the declining influence of Radford as a result of his retirement.
The 2016 annual report shows that acquisitions have continued, with 1409 works of art acquired, of which 996 were gifts, and 413 were purchased through the capital acquisition development fund
Photography was high on the list with highlighted acquisitions including a rare large-plate relievo ambrotype by Thomas Glaister, a carte de visite made by the famous painter Louis Buvelot during his first year in Australia and an important, pristine album of photographs by John Degotardi Jnr. detailing The Rocks area of Sydney during the bubonic plague outburst of 1901.
The assistance of Roslyn Packer to the NGA has continued despite the sad story of the Indian bronze to which she had contributed funds, that was returned to the Indian authorities.
Mrs Packer contributed to the acquisition of a work by designer Marc Newson. This was the Voronoi shelf 2006, of Carrara marble, from an edition of 10.
