Home / Knowledge / News / Textiles / Prices up at Australian wool auctions despite large volume

Prices up at Australian wool auctions despite large volume

13
Dec '19
Pic: Shutterstock
Pic: Shutterstock
Despite a large volume of 48,500 bales coming onto the market, the AWEX (Australian Wool Exchange) EMI (Eastern Market indicator) hauled itself over the 1500ac barrier to gain 11ac or 0.7 per cent to close this week at 1503ac clean/kg. The USD EMI appreciated by 1.4 per cent or 14usc to 1034usc clean/kg, completely eliminating the loss of last week's sales.
 
The larger gain on the USD EMI was registered as the Australian dollar (AUD) grew in value by 0.6 per cent against the USD. The week was perhaps the most impressive performing sale of the season thus far, according to the Australian Wool Innovation Ltd (AWI).
 
"Many factors appeared to be conspiring against the potential good fortune of the wool prices. Publicised larger volumes, adverse foreign exchange rates, the relative low quality of a large portion of the selection and the ever-present influences of the global economy were the main pre-sale concerns. However, what resulted was quite the opposite," AWI said in its report for sale week 24 of the current wool marketing season.
 
Most type sectors held ground strongly against the negativity and the largest segment of the market, the Merino fleece, gained upwards of 40ac dependent on the quality of the individual lot. Cardings were the sole category where prices drifted downward. To say buyer competition was strong would be understating the tone of the market as almost all operators showed some willingness, the AWI report said.
 
Merino fleece types gained 15 to 40ac, while some 20ac gains were made on the better skirtings, but anything slightly off was weaker by the close. Crossbreds were quoted a general 20ac higher, but within that some poorly prepared (or not prepared) clips were heading cheaper throughout as buyers punished those clips not classed to any sort of standard. Cardings were the only sector to face some depreciation and values dropped 20ac as a guide.
 
The passed in rate for the week was at a touch over 10 per cent with grower owners of Merino fleece still the largest user of this tool. Western Australian growers passed in over 20 per cent of their fleece whilst understandably the drought affected growing zones of NSW saw a rate half of that.  
 
Export figures from the Australian Bureau of Statistics for the season to date as at the end of October 2019 show China remaining dominant buyer of the Australian wool at 75.8 per cent of the total clip. Italy is running second with 6.8 per cent of the country's wool export with India third with 5.5 per cent. The Czech Republic, South Korea and Egypt are next with 3.2 per cent, 2.1 per cent and 1.7 per cent respectively.
 
Next week has a sales roster showing 39,430 bales up for sale. It will be the last sale week prior to a three-week recess for the Christmas and New Year period. 
 

Fibre2Fashion News Desk (RKS)


Must ReadView All

Pic: Shutterstock

Textiles | On 20th Jan 2020

US-China Phase I trade deal to boost US cotton exports

The National Cotton Council (NCC) has announced that the Phase 1...

Pic: Shutterstock

Textiles | On 20th Jan 2020

India, Uzbekistan explore preferential trade agreement

India and Uzbekistan recently agreed to conclude early a joint...

Pic: Shutterstock

Textiles | On 20th Jan 2020

China's GDP grew by 6.1% in 2019, slowest in 3 decades

China's economy weakened to its slowest pace in three decades last...

Interviews View All

Textile industry, Head honchos

Textile industry
Head honchos

Relaxation in FDI norms will support growth of retail sector

Top executives, Retailers

Top executives
Retailers

Weak rupee breeds inflation

Yash Agarwal, Hitansh Online

Yash Agarwal
Hitansh Online

Every market region has its own culture and trends

Alessandro Marengo,

Alessandro Marengo

Founded in 1974, Italian firm Zaitex SpA is one of the leading suppliers...

John Kelley,

John Kelley

Textile Events is one of the largest textile fair in the United Kingdom,...

Mehul Vithalani,

Mehul Vithalani

Gopi Knitts is one of the most celebrated manufacturers and suppliers of...

Melissa Tate, University of New South Wales

Melissa Tate
University of New South Wales

<div><div><div><div><b>Melissa Tate</b>, a well-known scientist currently...

Razvan Popescu, Directa Plus SpA

Razvan Popescu
Directa Plus SpA

Directa Plus is one of the largest producers and suppliers worldwide of...

Johan Berlin, InvestKonsult Sweden AB

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Sanjukta Dutta, Sanjukta's Studio

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Divvya and Nidhhi Gambhir, Walnut

Divvya and Nidhhi Gambhir
Walnut

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Aprajita Toor, Aprajita Toor

Aprajita Toor
Aprajita Toor

The creations by Aprajita Toor were born out of a deep desire to create...

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

Leave your Comments


January 2020

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


Advanced Search