Australian Wool Market – 28 May 2020

Gains were seen at wool sales this week for all wool types.  Bales offered 18.828. Clearance 92%. G. Schneider reported ‘small but positive gains across the whole offering and  all types from superfine merino to crossbred and cardings were improved by similar percentages.

This report also noted that a few ultrafine wools 15.5 and finer are attracting good competition in small supply. The selection is also starting to improve in terms of yield and we expect discounts for low yield to reduce as the selection changes.’

Superfine Merino Fleece <18.5mic+25 to +30 ; Fine Medium Merino Fleece >18.5mic +15 to +25; Skirtings + 25; Crossbred +10 to +20; Carding +15 to +20.

Looking forward the report notes that ‘some of the early shorn clips from the New England are now coming into store. A couple of factors will limit the supply of quality ultrafine wool that should help prices in the medium term despite the general limited interest from Europe. Tensile strength due to the change in season around February is resulting in more tender wool, with a large number of the lines with high mid break. Secondly the VM content will be completely different when compared with the past few seasons. The drought resulted in little to no VM in the clip up until now. Some early shorn clips have fleece lines approaching 1.5 to 2% vm and skirtings around 7%’.

No Fremantle sale next week. Melbourne and Sydney selling and the national offering reduced to 17,136 bales.

Source: AWI, G. Schneider Australia