The return of Italian buyers has given a boost to the local wool market, with prices rising steadily at this week's Newcastle, Australia, sales. The Europeans bought more than 40 percent of the offering.
Elders Wool spokesman Craig Brennan says it is good news to have the Italian buyers back in the mix.
"They have been pretty steady going actually," he said. "There's just very little stock overseas in Europe."
Wool brokers say the boost is even more surprising considering the economic turmoil still plaguing European countries.
Prices this week are up by between 50 cents and $2 a kilo on last week's sales.
"It's still a long way to go to where we were 12 months ago but it's pleasing with overseas economic conditions," Brennan said.
"A very low pass-in rate has been recorded, too, so there's good confidence to the trade with getting wool through the pipeline."
Reprinted in part from Yarns and Fibers Exchange