PGG Wrightson’s philosophy, wherever possible, is to link more end markets for wool back to the farm gate.

We must be able to produce wool that meets the specifications that our consumers order.

Finding manufacturers overseas and linking them back to the grassroots on the farm is where the true value of wool will be found. While at present this is easier with fine wools, the same principle applies for crossbred wool. 

Through forward contracts we are able to offer wool growers a secure price around which they can budget and make income projections. Meanwhile, tying up that wool long-term adds certainty to the supply chain, and helps manage price fluctuations for manufacturers, which is also a more rational, stable way for them to operate.

Under an auction system, all parties rely on the spot price on the day the wool is ready for sale. Under a fixed contract, global partners have certainty of supply, which justifies their long-term commitment.