Prices hold steady at North Island wool sale

Prices hold steady at North Island wool sale

New Zealand Wool Services International Ltd reports that prices were firm to slightly dearer at this week’s wool sale.

In the auction of North Island wool, 95 per cent of the 5,700 bales on offer were sold. Since the previous sale on 4 November, the New Zealand dollar hardly moved against the weighted indicator of the main wool trading currencies, easing 0.27 per cent, which had minimal impact on prices

According to New Zealand Wool Services International general manager John Dawson, this week’s firm to stronger prices reflect the current supply-demand imbalance, which has developed due to a lean processing chain through to finished product.

“Continuing demand from China kept fine crossbred fleece and shears firm.

“Good style coarse fleece was also firm, however, average and poor styles were between one and 2.5 per cent stronger. Carpet type second shears were also firm to one per cent dearer.

Long oddments rose by 1.5 per cent, with good colour, short oddments firm. Poorer styles eased between 1.5 and three per cent,” he said.

According to John Dawson, today’s sale was well-contested.

“China, Australasia and India led demand were today’s principal markets, while buyers from Western Europe, the Middle East and the United Kingdom were also in evidence,” he said.

Next week’s sale will be on 18 November, offering approximately 6,600 bales of South Island wool and 4,200 bales from the North Island.

New Zealand Wool Services International publishes a detailed weekly report on New Zealand wool auction trends. A summary of this can be viewed at http://www.nzwsi.co.nz. The full report is available by negotiation with the company.

-ENDS-

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