Latest Wool Trading News - January 2021

To all our woolnews readers, old and new, we wish you a Happy New Year and welcome you all to the first newsletter of 2021. We look forward to bringing you all the latest news and views and hope that they will signal a more optimistic year than 2020. Read More

Australian shorn wool production stabilises as fleece weights rise

The Australian Wool Production Forecasting Committee’s third forecast of shorn wool production for 2020/21 is 287 mkg greasy, up 1.1% on 2019/20 (18 December 2020). Favourable seasonal conditions in most wool producing regions, except Western Australia and Queensland, have helped stabilise wool production although low sheep numbers will continue to hamper a recovery in shorn wool production. The Committee esti... Read More

New man at the helm at British Wool

British Wool today announced that its Board of Directors has appointed Andrew Hogley as Acting Chief Executive Officer. This appointment is effective immediately following Joe Farren’s decision to step down due to personal reasons. “We are fortunate to have someone of Andrew’s calibre and experience to step up to lead British Wool” said Chairman, Jim Robertson. “Andrew has worked very closely with Joe (outgoing C... Read More

Australian wool market commentary from AWI (15 January 2021)

This week saw the first Australian auctions for the 2021 year and the results were very encouraging. Fears of the large volumes and a significantly stronger AUD against all major currencies placing negative influence upon the market did not materialize or dampen buyer enthusiasm. Prices were generally dearer across the offering and all sale room operators were strongly active either throughout selling or at various ... Read More

China lifts import quota on Australian wool by 5%

Australian wool remains unscathed from trade tensions with China, with imports increasing by 5%. The Department of Foreign Affairs and Trade today confirmed the quota will be lifted at a time when several Australian commodities such as barley, wine, coal and timber have been blacklisted. The quota will increase to just over 38,000 tonnes, up from around 36,000 tonnes in 2020. New Zealand’s import quota to China r... Read More

Wool competitiveness to increase against substitutes

Wool competitiveness to increase against substitutes In relative price terms, wool is the most competitive it has been against cotton since 2011. The price of wool has also retreated to a 3-year low against polyester at a time when oil and polyester prices have been historically low due to COVID-19 containment measures. A low relative price could lead to increased purchasing and incorporation of wool into textile... Read More

Australian Wool to receive more consumer support next year

Australia’s wool supply is expected to increase during the 2020/21 season, according to Rural Bank’s Australian agriculture outlook 2021, but remain below average, and improved seasonal conditions will allow sheep numbers to begin to rebuild from the lowest level on record. “The Australian wool market is expected to receive support by strengthening consumer demand in China where its more advanced recovery from CO... Read More

British Wool Launches Major Cost Saving Initiative

The Covid-19 pandemic has had a significant detrimental impact on the global wool market and despite the fact that British Wool has cleared the 11million kg of unsold wool they had at the end of April the market remains extremely challenging. Andrew Hogley, Acting CEO explains “British Wool has managed to sell wool in decent volumes since August which has allowed us to clear last season’s unsold stock but prices ... Read More

eBale Project Update

Australian Wool Exchange (AWEX) is progressing the eBale Project as a matter of priority in 2021. During 2020, progress on projects including eBale & WoolClip were slowed, to enable AWEX to prioritise its resources to address critical industry issues including the Cyber attack on an industry IT company in February and the ongoing impact of COVID-19 restrictions on wool auctions. As part of its overall strategy to... Read More

British retailer Next in joint bid with US investor

Fashion retailer Next is in talks with American investment firm Davidson Kempner Capital Management for a joint bid to gain control of Arcadia fashion group, which collapsed into administration last month. The two companies were “likely, but not certain” to bid for Arcadia ahead of a revised deadline next Monday, the Sky News report added, citing sources. Under the plans being discussed, Davidson Kempner would... Read More

Australian wool Key Test Data Summary for December 2020

The monthly comparisons of Total Lots, Bales and Weight for December 2020 compared with the same period last season are: -5.0%, -4.2% and -4.0% respectively. The progressive comparison of Total Lots, Bales and Weight for July 2020 to December 2020 compared with the same period last season are: -12.6%, -9.8% and -9.3% respectively.  AWTA Ltd has tested 138.9 mkg (million kilograms) this season compared with 153... Read More

Marks & Spencer snaps up Jaeger fashion brand

Marks & Spencer has announced that it has bought the Jaeger fashion brand, which fell into administration last November. It is taking on the brand, but not Jaeger’s scores of shops and concessions. It is now in the process of finalising a deal to buy its products and “supporting marketing assets”. M&S announced in May 2020 that it planned to stock other complementary brands to boost sales. Since then, it has s... Read More

Move in Merino challenge: On Strava

In conjunction with the Feel Merino campaign, in November The Woolmark Company ran a community engagement initiative in conjunction with Strava, the exercise-focused social networking platform. The ‘Move in Merino Challenge’ on Strava encouraged consumers to exercise and commute wearing Merino wool, driving sales of brand partners’ products and creating a community of active-minded Merino wool ambassadors. The Wo... Read More

Asos announces £90m Staffordshire centre plan

Online fashion group Asos has announced it will invest £90m in a new fulfilment centre in Staffordshire, UK with a plan to employ 2,000 people at the site over the next three years. The 437,000 sq ft, AEW and Allianz Real Estate joint venture warehouse at Fradley Park, Lichfield, is set to open within 12 months. In a statement, Asos said the site would be fully operational by 2023. The business secretary said ... Read More