The Only Way is Up For The Wool Market
Listen now as The Country’s Jamie Mackay is joined by PGG Wrightson’s Bloch and Behrens General Manager, Palle Petersen, to take a look at the wool market this month.
Mackay recalls that according to MPI, New Zealand’s Food and fibre exports are forecast to exceed $50 billion NZD; however there was no mention of wool exports.
Wool was at an all-time low during last year’s lockdown with prices dropping below a dollar per kilo. Mackay says even with the price increase over the past 12 months, it is not enough to sustain the wool market.
Petersen agrees with Mackays concerns, but looking at the statistics the market prices are trending up. Travel and export restrictions due to Covid19 will start to ease and the market should pick up again, particularly on the commercial side.
Mackay notes that the recent wet and humid weather conditions have started to impact wool quality. Petersen confirms that post-Christmas will be a struggle and the quality might not be there, however if there are a few good coloured clips then this should fetch a premium price.