There were 45,000 bales rostered for sale this week, selling Wednesday and Thursday in all three selling centers. Once again 19 and finer surged dearer. 18’s closed in Melbourne on day 1 at 1933 cents clean. This is a staggering number. Even more remarkable is the spread between 20 micron and 18, nearly 400 cents clean. We’ve spoken a bit about the equilibrium of supply and demand heavily influencing the current market, interestingly when you look at the number of bales sold at auction over the last 9 years and only twice have we sold more volume than this year to date. This is a clear indication that there is an increase in demand.
Fortunately for Tassie growers the mainland selection is starting to deteriorate from a VM point of view, with vegetable matter increasing dramatically this week. This looks to be about a month earlier than last year and is obviously a direct result of the amount of grass across the country. By comparison Tasmania’s wools are very free and will be keenly sought by Europeans and China alike.
I hope you got to see the Landline special on China last week, it provided a nice insight into the Chinese industry, frustratingly one comment was made that at this level wool is not competitive to cotton and synthetic fibers. This isn’t just coming out of China, India’s largest consumer of wool has also highlighted the disparity. When will they realise they’re not comparing apples with apples. Wool is a luxury product that demands a luxury price point? Don’t get me started on this one.
All in all it’s a good time for wool, and bodes extremely well for Roberts feature February sale next week. We sell in isolation on Tuesday, this a great result as it should generate some real interest with all eyes on a 100% Tasmanian selection.
Don’t forget the Roberts Flock Ewe Competition kicks of next week, contact your wool representative to get the full program.
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