Strong wool prices continue to hold steady, with encouraging signs emerging across both the market and grower sentiment.

Speaking with Jamie Mackay from The Country at the Wānaka A&P Show, Rachel Shearer, General Manager of PGG Wrightson Wool said recent auction results reflect a market that has found its footing after a period of rapid lift.

The latest South Island sale achieved a 98 percent clearance, with the strong wool indicator lifting slightly and holding around current levels. While prices have plateaued in recent weeks, this is typical for the time of year as exporters work through existing orders and seasonal changes begin to influence quality.

“Prices have levelled off where supply and demand currently sit,” Rachel said. “Exporters have largely filled their books, which is why you’re seeing that plateau.”

Despite this pause, the market remains well ahead of where it was a year ago. Strong wool is currently sitting around the $5.00 to $5.50 clean mark, up approximately $1.50 to $2.00 year on year. For many growers, that shift is significant.

“Growers we’re speaking to here at Wānaka are starting to say wool is no longer a liability on their balance sheet,” she said.

After years of challenging returns, this change in sentiment marks an important turning point for the sector.

Underlying the current market is a growing awareness of tightening global supply. Declining sheep numbers are beginning to influence buying behaviour, with international markets showing increasing concern about securing future volumes.

At the same time, quality remains front of mind. The role of skilled shearers and woolhandlers continues to be critical in ensuring New Zealand wool meets the standards expected by global buyers. Events such as the Golden Shears and the PGG Wrightson/Vetmed National Shearing Circuit highlight the level of expertise within the industry, with recent winner Jack Fagan recognised for his contribution both in competition and as an ambassador for the sector.

Global influences are also playing a part. Rising oil prices can increase the cost of synthetic alternatives, strengthening wool’s position as a natural fibre, although shipping and logistics pressures continue to add complexity to international trade.

Looking ahead, the fundamentals supporting the market remain in place. Supply constraints, steady demand, and improving awareness of wool’s natural attributes are helping to reinforce confidence across the supply chain.

Rachel remains focused on the bigger picture.

“I’m incredibly passionate that we keep New Zealand farmers in sheep. They play such an important role in our ecosystem and our farming landscape,” she said.

While there is still progress to be made, the strong wool sector is showing clear signs of stabilisation, with a renewed sense of confidence emerging as the season continues.