Home / Knowledge / News / Textiles / Wool sales to resume amid concerns of supply shortage
Wool sales to resume amid concerns of supply shortage
14
Jan '09
Wool sales resume on Wednesday (14 January) following the Christmas recess and about 15,000 bales will come under the hammer.

Sales resumes amid uncertainty about the effect of the downturn in the global economy on the wool market. The market indicator gained 14% during November and December on the back of strong demand from Chinese importers rushing to fill import quotas before year-end, and a weaker rand. It nevertheless still is 12% below the opening sale in August 2008.

With all 15 countries in the Euro-zone, the US and Japan now officially in recession and consumer confidence at a low, spending patterns, particularly on non-essentials like clothing, are expected to be affected.

Another factor that will negatively impact on prices is wool's price relative to other fibres. Prices of competing fibres, particularly synthetic fibres, have decreased more sharply than wool prices. This may compel manufacturers to switch to cheaper fibres or to “downgrade” pure wool products to wool/synthetic blends.

Also of concern is the slow-down in China's economy as export demand drops. When all these factors are taken into account, the wool market is expected to face a few difficult months.

On the other hand, concerns about possible supply shortages following the expected 6% drop in Australian production to 375 million kg, the lowest level in decades, may support the market. Exchange rates will also continue to play a major part in determining price levels.

Capewools

Must ReadView All

Textiles | On 20th Jan 2017

TEA expects budget to upscale textile skill industry

The Tiruppur Exporters’ Association (TEA) has requested the Central...

Textiles | On 20th Jan 2017

Bangladesh could earn $60 billion in exports by 2021

Bangladesh is expected to earn over $60 billion in exports by the...

Courtesy: PIB

Textiles | On 20th Jan 2017

Govt to help Tangaliya weavers purchase looms: Irani

Government of India will facilitate Tangaliya weavers in purchase of...

Interviews View All

Amardeep Singh
Orient Craft

'In export markets, the trend in terms of embroidery, is towards matte...

Sunil Rathore
Lacoste India

‘New vendor is welcome if he offers cost, quality and timely delivery’

Mohammad Mamun Ar Rashid
UL VS Bangladesh Ltd

Productivity, creativity and innovation play a vital role in the growth of ...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
January 2017

January 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search