Home / Knowledge / News / Wool / All wools strong & dear at Australian wool auctions

All wools strong & dear at Australian wool auctions

Jul '19
Pic: Shutterstock
Pic: Shutterstock
All wools on offer finished strongly and dearer as Australian wool auction sales drew to a close for the first half of the 2019 calendar year. The much-needed confidence to keep the market busting in a positive direction was injected by some fresh forward sales for relatively prompt shipment from mainly China, and a modicum from other destinations.

The Australian Wool Exchange (AWEX) Eastern Market Indicator (EMI) gained 31ac or 1.8 per cent in the week prior to the annual three-week Winter recess in sales. The EMI for the first half of the year closed at 1754ac clean/kg. In USD terms the results were perhaps less impressive but still indicative of a slightly better demand scenario by shifting 11usc or 0.9 per cent higher to 1223usc clean/kg. The market was also assisted by the USD v AUD foreign exchange improving the AUD price by moving down 0.9 per cent week on week.

“By following the market movements of the past weeks, it can be ascertained that the global supply of wool in front of machines is dangerously low. Almost all business said to have been written was for prompt or immediate shipments,” Australian Wool Innovation said in its ‘Wool Market’ report for sale week 2 of the current wool season. A rapid rise in demand is expected once consumer retail demand picks up in the northern hemisphere, particularly when tied in with the tightening supply by the lower global wool production.

During the latest auction week, the strongest buyer interest was for the finer end of the merino offering. Gains of 40 to 50ac were commonplace within the super fine (less than 18.5micron) category, with the better descriptions seeing 75ac added to their values. European interests appeared stronger in purchasing intent. However, supply concerns due to quality issues caused by drought conditions continues to play its part in this decision making, as does the relatively attractive price of these wools when compared to the previous two years or so.

The broader (more than 18.5micron) merino sector also appreciated across all descriptions but gains were restricted to a general 10 to 20ac. Crossbreds of all types were similarly 5 to 15ac dearer, but also in reality not much dearer in delivered US price levels. Cardings though did see some significant uplift in their quotes with most sale lots within this sector rising 35 to 55ac.

Supply concerns from Australia are very much reflected by the first sales of the new season. Australian auctions have produced just 60,969 bales sold compared to the 74,113 bales last season. This means that already 17.7 per cent less wool has flowed up the chain.

Post-recess, auctions will resume in the week commencing August 6. (RKS)

Fibre2Fashion News Desk – India

Must ReadView All

Pic: Shutterstock

Apparel/Garments | On 20th Jul 2019

Serbia's Maille Pirotex to open apparel manufacturing unit

Serbian textile company Maille Pirotex is planning to open an apparel ...

Pic: Shutterstock

Textiles | On 20th Jul 2019

Australia, India finalise new veterinary health protocol

India and Australia recently finalised a new veterinary health...

Pic: Shutterstock

Apparel/Garments | On 20th Jul 2019

BGMEA joins Fashion Industry Charter for Climate Action

The Bangladesh Garment Manufacturers and Exporters Association...

Interviews View All

Kamlesh Vaghela, RK Textiles

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

Top executives, Textile industry

Top executives
Textile industry

It will take some time for the people to change their buying choices

Rahuul Jashnani, Jashn

Rahuul Jashnani

‘Online economy has changed the whole dynamics of buying habits.’

Francesco Gozio,

Francesco Gozio

Italian company Marzoli is a leading manufacturer of the complete line of...

Umang Banthia,

Umang Banthia

Established in 2005, SL Banthia Textiles manufactures coated fabrics....

Iacopo Pardini,

Iacopo Pardini

Founded in 1953, Italian engineering company Arioli Spa started...

Silke Brand-Kirsch, Schlegel und Partner GmbH

Silke Brand-Kirsch
Schlegel und Partner GmbH

<div>Schlegel und Partner is the market research and consultancy company...

Alfonso Marra, Klopman

Alfonso Marra

It was in 1968 that Klopman introduced the concept of poly/cotton workwear ...

Sameer Sonkusale & Rachel Owyeung, Tufts University

Sameer Sonkusale & Rachel Owyeung
Tufts University

A team at the Tufts University in Massachusetts was recently in news for...

Pranav Mishra, Huemn

Pranav Mishra

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Priya Somaiya, Usha Social Services

Priya Somaiya
Usha Social Services

The Usha Silai label from Usha International is all set for a retail...

Robert Brunner, Devereux

Robert Brunner

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


Letter To Editor

(Max. 8000 char.)

Search Companies


Leave your Comments

July 2019

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

news category

Related Categories:

Advanced Search