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Upward-trending wool prices continue to bring optimism for growers amid increased buyer activity.
The latest South Island auction in Christchurch saw a 5% lift in the strong wool fleece market, while Merino and half-bred fine wool lifted up to 8%. The lift in prices is positive and a welcome boost for the industry, PGG Wrightson Wool South Island auction manager Dave Burridge said.
“The fine wool market has continued the upwards momentum as set from the start of the season while capitalising on the strong demand-driven market from across the Tasman as well.
“The mid-micron market continues to show active demand and finishing in seller’s favour.
“The crossbred wools saw active competition for stylish and well-prepared lots breaking well through the 400c/kg clean barrier.”
Average sale prices had all crossbred fleece up 5% with good style at $4.00 a kilogram; average style $3.85/kg and inferior $3.65/kg while second shear lifted 2% to sell from $3.65-$3.85/kg.
Merino fleece best top making 16 micron was up 3% selling at an average of $22.00/kg; 17 micron up 4% at $20.70/kg; 18 micron up 8% at $19.40/kg and 19 micron up 5% at $18.10/kg
Half-bred hogget fleece averaged $12.40/kg; half-bred 25 micron $9.50/kg; mid micron half-bred at 30 micron lifted 7% to $5.35/kg and 28 micron was up 4% at $6.30/kg.
Declining sheep numbers continue to be a key factor amid strong buyer interest coming from China and Europe.
While currently there is still plenty of wool around, looking ahead, speculation is that demand will continue to lift for well-prepared clip, with the new season sales in December expected “to be interesting”.