November 3, 2006
November 3, 2006 - News this week from Australia, New Zealand and South Africa indicate the wool market is moving in an upward direction.
In Australia, the overall wool market hit a two-year high. The biggest price hikes were for wool in the medium 19-micron to 24-micron range. Drought-depleted wool stocks along with moderate demand have helped initiate this price hike.
Chris Wilcox, chief economist at Woolmark, says the rebound should continue for at least another two months.
In South Africa, the overall wool indicator jumped 4.4 percent at this week's sale. This translates into a gain of 37 percent on the same sale last season. The main impetus for the price rise in this country was provided by strong competition.
According to the American Sheep Industry Association's international wool consultant, Barry Savage, "The rises are very concentrated in the 21-micron to 24-micron range with some spin-off occurring in the 19-micron and 20-micron wools. There has been very little change in either the 25-micron and courser wools or the 18-micron and finer types." Staff contact: Rita Kourlis Samuelson, ext. 29