Merino prices pick up pace

Merino farmers were bracing themselves for a market downturn but prices continued to rise at the Melbourne sale this week.

The small offering of 800 bales presented by the New Zealand Merino Company (NZM) contained a lot of hogget fleece and merino wool with high vegetable matter.

NZM was expecting an average result as the New Zealand offering was the last of the day at the Tuesday sale and after 7500 Australian bales had already gone to auction.

However, buyers continued to reward farmers with better prices for avoiding the controversial mulesing practice of removing strips from the hindquarters of sheep to reduce flystrike. Buyers were prepared to pay more to show shoppers they valued animal welfare.

NZM commercial manager Keith Ovens said a ‘‘tricky, tidy up sale’’ was expected for the offering because of its vegetable content, many hogget lines and position at the end of the catalogue.

This failed to materialise as nonmulesed wool, including oddments, continued to be in demand, he said.

The average price was up 20 cents a kilogram from the last sale last month to $12.61/kg and even though there were more oddments they sold at a better price to raise the average. Some oddments, including necks, bellies and pieces, were up 2-3 per cent.

Ovens said some of the back wool lots contained as much as 8 per cent vegetable matter but had still sold well and up to fleece value. ’’It’s still good combing wool which they have to comb a bit more to get the high vegetable matter out but the demand is there and it’s a really good signal for the New Zealand growers that took the lead eight to 10 years ago when we went against the [mulesing] trend.’’

The best 40 bales had been taken by Reda in a contract deal before the auction.

Super fine adults - Kawarau, Cromwell, 15, 15.6, 71.3, 1350, 1893, Earnscleugh, Alexandra, 2, 15.7, 70.5, 1318, 1870, Super fine hoggets - M/2Hearts Matangi, Alexandra, 2, 15.7, 72.1, 1351, 1874, Hurunui Plains, Hawarden, 7, 15.8, 65.8, 1245, 1892, Extra fine, fine and medium adults Kawarau, Cromwell, 5, 16.5, 69.7, 1307, 1875, Ben Mcleod Range, Peel Forest, 2, 16.6, 63.7, 1191, 1870, Waitiri, Queenstown, 8, 16.7, 72.3, 1342, 1856, M/2Hearts Matangi, Alexandra, 2, 16.9, 69.1, 1281, 1854, Child Cancer, 1, 17.0, 70.4, 1429, 2030, Rawcliffe, Ashburton, 12, 17.8, 70.3, 1339, 1905.