AUSTRALIAN growers continued to sell wool online last week despite auction prices easing in the COVID-19-affected market.
AuctionsPlus has reported it sold 575 bales on its online offer board last week, as the physical auction price benchmark – the AWEX Eastern Market Indicator – fell 20 cents to 1272c/kg clean.
AuctionsPlus Wool project manager Tom Rookyard said the wool market appears to be holding somewhat firm on the shaky grounds COVID-19 has caused.
Last week just under 25,000 bales were offered on Australia’s open cry auction system, with the smaller offering easing pressure on the market, as mills continue to buy at a slower rate, he said. The West Australian indicator lost 12 cents to close off at 1358c/kg clean.
“There appears to be a reasonable level of grower acceptance at the levels with a 15.1 percent pass-in rate across the two days.
“The general sentiment around the industry is cautiousness and that the reduced offering is keeping the market’s head above water,” he said.
“Overseas mills would only be buying hand to mouth to ensure that should COVID-19 continue to negatively impact economies, the mills won’t be caught in an exposed position.”
Superfine Merino fleece tops AuctionsPlus sale
The top-priced fleece lot online was an eight-bale line of 16.3 micron AAA Merino fleece wool that sold for 1300c/kg greasy, or 1890c/kg clean. The line had a yield of 68.8 percent, an average staple length of 85mm, tensile strength of 29 Newtons/kilotex and 1pc vegetable matter content. It was branded Slumberdowns and offered by Elders Adelaide.
A bale of 14.7 micron Merino pieces with a yield of 65.6pc, staple length of 70mm, tensile strength of 29N/kt and 0.7pc vm made 1315c/kg greasy, or 2005c/kg clean.
A six-bale line of 17.1 micron AAAASUP fleece wool from a flock that has ceased mulesing sold for 1285c/kg greasy, or 1732c/kg clean/ The line yielded 74.2pc, was 94mm long, with a tensile strength of 32N/kt and 0.5pc vm.
A seven-bale line of 18.8 micron Merino fleece with a yield of 73.4pcv, staple length of 107mm, tensile strength of 32N/kt and 0.6pc vm sold for 1110c/kg greasy, or 1512c/kg clean.
A 10-bale line of 19 micron AAAM sold for 1095c/kg greasy, or 1502c/kg clean. It yielded 72.9pc, was 102mm long, with a tensile strength of 36N/kt and 0.5pc vm.
A 10-bale line of 20 micron AAAM with a yield of 58.4pc, a staple length of 84mm, tensile strength of 39N/kt and 0.6pc vm sold for 810c/kg greasy, or 1387c/kg clean.
A 13-bale line of 21 micron AAAAM sold for 890c/kg greasy, or 1328c/kg clean. The line yielded 67pc, was 64mm long, with a tensile strength of 61N/kt and 0.4pc vm.
Online 17µ and 18µ micron fleece wool sold up to 1285c and 1110c greasy or 1732c and 1512c dry, as 19µ and 20µ micron fleece wool sold up to 1095c and 910c greasy or 1502c and 1387c dry.
Mr Rookyard said the cautiousness of overseas mills will continue.
“COVID-19 has left a path of destruction, crippling economies, and this does not bode well for short to medium term industry.
“However, the light at the end of the tunnel is simple, once a vaccine is produced, the world will recover and so will global economies and consumer confidence.”
AuctionsPlus Wool also held two live online auction sales last week. Click here to see the results.