Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Farmers hold back wool from auction

Friday 21 April 2017 10:17 AM

Farmers hold back wool from auction in the hope future prices will lift

By Tina Morrison

April 21 (BusinessDesk) - Less wool than forecast was offered at New Zealand's weekly auction as farmers held back bales from sale in anticipation prices may lift in the future.

Just 8,444 bales were put up for sale at yesterday's South Island auction, 20 percent below expectations, according to AgriHQ. Even with the low number of bales on offer, the clearance rate remained subdued at 67 percent, lagging behind the 71 percent clearance rate for the season to date, AgriHQ said.

New Zealand is the world's largest exporter of crossbred wool and weak demand for the fibre, which makes up about 80 percent of the national clip, has weighed on prices this season. The Ministry for Primary Industries noted in its latest quarterly outlook published this month that wool export prices may remain subdued until inventory is worked through and demand from China returns.

"Demand in the market remains low due to the current market conditions," said AgriHQ analyst Sam Laurenson. "Most farmers are likely to be still holding back bales in hope for an improvement in the market."

Compared to the last South Island sale two weeks ago, prices dropped across the board. The price for 30-micron lamb wool fell 40 cents to $3.70 per kilogram, while the price for 35-micron strong crossbred wool dropped 35 cents to $3.80/kg, AgriHQ said. Compared with last week's North Island sale, 30-micron lamb wool advanced 5 cents, while crossbred wool prices slipped 5 cents.

An estimated 6,500 bales are scheduled to be offered at next week's North Island wool auction.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Constructions Builds: Consents Top $2 Billion For The First Time

Building consents reached a record $2 billion in March 2017, boosted by new homes and several big non-residential projects, Stats NZ said today. This was up 37 percent compared with March 2016. More>>

Other Stats:

Health: Work Underway To Address Antimicrobial Resistance

As part of a global response the Ministries of Health and Primary Industries have today jointly published ‘Antimicrobial Resistance: New Zealand’s current situation and identified areas for action’ to respond to the changing pattern of antimicrobial resistance in New Zealand. More>>

ALSO:

Employment: Vodafone Announces Family Violence Policy To Support Team

From today, any of Vodafone’s 3,000 workers affected by family violence will be eligible for a range of practical support, including up to 10 additional days of paid leave per year. More>>

Burning Up Over Saturn: Cassini's Grand Finale

With propellant running low, NASA scientists are concerned that the probe might accidentally crash into one of Saturn’s nearby moons, which could contaminate it with Earthling bacteria stuck to the spacecraft. Instead, the spacecraft will be safely "disposed" in Saturn's atmosphere. More>>

ALSO:

Our Fresh Water: Monitoring Report Confirms Serious Challenges For Rivers

• nitrogen levels are getting worse at 55 percent and getting better at 28 percent of monitored river sites across New Zealand • phosphorus levels are getting better at 42 percent and getting worse at 25 percent of monitored river sites across New Zealand More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news