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6 October 2022
Categories
Wool
Market Commentary

Grant Edwards, General Manager of Wool at PGG Wrightson, chats with Jamie Mackay from The Country to take a closer look at the wool market

Jamie starts the conversation off by talking about the shearing months coming up through October, November and December and mentions that Grant is down in Wanaka ahead of the NZ Merino Shears event happening in Alexandra which Grant will pop across to and see how it's going.

Jamie and Grant discuss while October to December are the main shearing months - they are well into the heart of fine wool - being almost all the way through it.

They discuss PGG being a key sponsor alongside Vetmed, and how they're hopeful for a clean run of the 59 events on the calendar this season regarding competitions being cancelled in the last couple years due to covid. 

Jamie talks about how he was showing his bias towards the old strong crossbred wool and compares how they shore back in the day versus now as pre lambs have been done and the fine wool guys have almost finished their shearing.

Grant agrees that most have bar a few hoggets and whethers and says that looking at the wool stores in the South Island - they're 'Chocker'. Grant goes on to say that the wool has come off in a short time period with a fair percentage of it being contracted but at the same token a lot has come through auction with the sale in Christchurch the day before. He can see significant premiums for exceptional fine wools grown in NZ aided by some of the farming practices adopted in NZ compared to our counterparts across the ditch.

Jamie then asks about the light at the end of the tunnel - Fine wool isn't really the problem but rather the strong crossbred wool? Grant answers , they're seeing a degree of change - having seen some good crossbred Perendale - Pre-lamb - wool sold the day before for an exceptional price. Grant goes on to say how it's encouraging and they're seeing a change in freight costs out of China with costs having gone up significantly about 18 months ago - he hopes that some normality is returning.

To finish on, Jamie asks Grant about any good Lamb contracts - Grant says yes! The Lamb contracts are quite significantly above the market, a really good uptake from growers - he emphasises that these need to be good lamb's wool and shorn early but say's it's encouraging and is excited they can offer this out in the country. 

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