Wooltrade sold its finest wool for the year last week, with two paddock-grown bales under 14 microns from a Victorian grower making more than 5400 cents clean.

Morrisons wool grower Tom Spielvogel sold a 110 bale of 13.2 micron wool for 6868c/kg clean and another 13.5 micron bale for 5405c/kg clean to Australian Merino Exports through Landmark Jackson of Geelong.

Australian Merino Exports managing director James Thomson said AME traditionally sourced ultrafine wool for the high standard European market through the AWEX auction system – using visual assessment of style, character, tensile strength, fibre diameter and length. But the Wooltrade lots were bought for interlotting to adjust the average diameter of a 12-tonne Asian market order mostly made up of auction-bought wool, he said.

Mr Thomson said AME paid premiums for superior wools that can be visually assessed.

“We support the systems that surround the traditional auction system, however they are used to top up or adjust lower grade types in order to meet shipments.”

The finest bale had a yield of 72.8 percent, a tensile strength of 24 Newtons/kilotex and vegetable matter content of 0.3pc. The slightly broader bale had a yield of 74pc, a tensile strength of 27N/kt and a vegetable matter content of 0.1pc. Both lots were from young ewes and wethers, and had staple lengths of about 75 millimetres, Mr Spielvogel said.

Finest bales sold on Wooltrade this year

“These are the finest lots sold on Wooltrade in 2014 and represent some of the best wool in the country,” Wooltrade market operations manager Tony Benson said.

“What a difference a week makes with 1278 bales finding buyers on Wooltrade and a strong market in the auction system with a pass-in rate of just 7.2pc.

“The AWEX EMI jumped 13 cents to finish at 1042 cents a kilogram, but Wooltrade sales during the week indicate that the strength will continue forward,” he said.

Mr Benson said Mr Spielvogel has used Wooltrade for many years and uses it to catch any interest in superfine wool over time rather than selling in the first available sale.

Wooltrade enables 24-7 wool trading

Mr Spielvogel said Wooltrade enabled him to sell his ultrafine wool at his price. It was the first time in a few years that he had sold wool from his Clipswood Lucky blood flock on Wooltrade and the two bales were not the finest he had produced. This year his clip has included several 12 micron bales.

“The broadest wool we’ve produced this year is a 16.3 micron line and that’s off five-year-old wethers.”

Mr Spielvogel said he always thought Wooltrade was a great idea.

“It means that you can sell wool 24 hours a day seven days a week.

“A buyer in Germany might need five bales of 13 or 14 micron wool and he can basically have it over there in a month, because he doesn’t have to wait for an auction.”

Exchange rate makes wool cheaper in US dollars

Mr Benson said the Australian-US dollar exchange rate had certainly kicked the market along during the week, but it was worth remembering that wool actually fell in US dollar terms by eight cents.

“This is great for the woolgrower and for the buyer but keep an eye out for a turn in the currency as wool will get dearer for buyers very fast with an upswing in currency.

“The question remains that is the underlying demand for wool any stronger today than it was last month and we are yet to see evidence of that.”

Mr Benson advised growers to “make hay while the sun shines” and list wool while the market is in a firming pattern.

Source: Wooltrade