Shortage of wool concerns exporters

A shortage of wool helped push most prices higher at last week's combined North and South Island sale.

Just 8300 bales were offered.

This week's sale has been cancelled due to insufficient volumes, prompting Wool Partners International auctioneer Dave Burridge to say exporters were concerned about how to fill committed forward orders.

Mr Burridge said the shortage was due in part to changing land use but also damp weather delaying shearing and then compounded by the start of lambing.

He said changes to breeding policy has resulted in wool weights which in some cases were 30% lower than previously.

New Zealand Wool Service International reports that it was a tough day for the first sizeable offering of mid-micron wool, with prices falling 1.5% to 3.5%.

Prices for a small offering of merino wool also slipped 2% to 7% compared with the September 2 sale.

Coarse crossbred wools were strongly contested due to the short supply, with full fleece rising in price by 1.5% to 4.5% and second shear by up to 3.5%.

Oddments rose by a similar amount.

Of the 8300 bales on offer, 88.3% sold, with the rest, mostly mid-micron types, passed in.

The next sale will be on September 30, with 9000 bales from the South Island and 7500 from the North Island to be offered.

 

Add a Comment