ONLINE demand for wool increased this week as the physical auction market suffered another supply-related decline.
The AuctionsPlus online offer board sold 199 bales last week, with a range of broad micron wools being in the highest demand.
Buyers bought 75 bales of 20 micron wool online – or 38 percent of sales — that sold to a top of 850c/kg greasy or 1250c/kg clean. The top-priced lot for the week was 1777c/kg greasy or 2291c/kg clean for eight bales of 17.7 micron Merino fleece wool that had an average staple length of 78mm and 0.3pc vegetable matter content. The line was sold by Nutrien Ag Solutions for “Tillywhim.”
The AWEX Eastern Market Indicator (EMI) closed at 1332c/kg on Tuesday, a 40 cent drop from the previous week’s performance, but the EMI lifted 3 cents on Wednesday to close at 1335c/kg greasy, or US970c/kg in US dollar terms.
There was a decline in supply to 41,344 bales, although this still remains a larger offering than is typically seen at this time of year. The passed-in rate sits at 28pc suggested supply is not being met with equal demand, AuctionsPlus said.
These results are likely due to a combination of decreased activity from the Chinese market, with the Delta variant outbreak leading to reduced demand, and continued impacts from last week’s price drops. However, due to the lower supply this week, the price managed to increase a small amount by the end of the selling week, AuctionsPlus said.