Wool Manager’s Report

On Tuesday this week Melbourne hosted the traditional Tasmanian February wool sale. With Melbourne selling in isolation and the day being exclusively assigned to the Tasmanian store catalogue it was a perfect test of where this current market is at and how it relates to our wool types.

From the opening bid (which turned out to be the highest price for the week) competition was vigorous throughout the entire day, with fleece wool selling to levels not seen for 6 years. For me it was the spread of buyers that was most encouraging, with the usual candidates like New England Wool and G Schneider bidding up aggressively; it was the lower profile companies like Fox (buying in part for New Zealand Merino), Australian Merino Exports and Tianyu that purchased the volume.

The market reacted well to the stylish offering and was generally quoted 10-15 cents dearer on fine and superfine types when compared to last weeks close, with high nkt spinners types selling to more extreme levels. Crossbred types were quoted in sellers favour, while skirtings and cardings were exceptional, again.

A special mention should go to the Gee family from “Snowhill” for receiving this year’s top price, well done.

The Tasmanian providence story is gaining more and more momentum due to the ongoing promotional work we are doing both here and in our key markets overseas. This was clearly displayed this week, with half a dozen firms requesting meetings to discuss our value add proposition. The fact that exporters are now fielding requests from their downstream customers to process 100% Tasmanian origin batches means we are now getting to the position where we are able to take control over the price we receive for our product. One very large firm noted in our discussions “what you are doing and what you have to offer is so unique, coupled with the natural beauty of Tasmania, Tasmanian wool is now becoming the most sought after product available and we can use what you provide to differentiate our offer and ultimately maintain and increase our margins”.

Ultimately it is about turning Tasmanian wool growers into price makers, not price takers. Talk to your local Roberts wool representative to find out how you might be able to get involved and help strengthen our offer.

Sales continued on Wednesday with all three centres selling. The market retreated from the highs set the previous day, with fine and superfine fleece  and skirting categories losing the gains they made on Tuesday.

The Roberts 2 Tooth Ewe Competition concludes today (Friday) with a presentation function being held at the Powranna livestock selling complex beginning at 6.30 pm. Please join us to hear the results of what has again been another successful event while getting the chance to share a drink and a conversation with your fellow peers.

Please email any questions you may have or discussion points you would like covered to acalvert@robertsltd.com.au