Fine and certifiable wools dominate auction season

Following a week’s recess in wool auctions, the 28th sale of the selling season took place with a larger offering of 11 112 bales, after 401 bales were withdrawn beforehand, according to Cape Wools SA.

Although less than half of the offering consisted of long-length wools, nearly 70% of the offering tested 20 microns and finer, with 52,6% of the Merino wools being certified as sustainable.

Although the market had to deal with pressure from a stronger rand against all major currencies, it showed a satisfactory performance, especially for the better-quality Merino fleece wools. The market delivered positive results in US dollar terms. The good competition from the buying houses for the betterquality wools resulted in an overall sales clearance of 92,5%.

The non-certified indicator eased by 1,2% to close at R147,35/Ȳkg, while the certified indicator closed 0,9% down at R165,25/kg.

Major buyers were G ModianoȲSA (2 298 bales), BKB Pinnacle Fibres (1 939), Standard Wool SA (1Ȳ768) and Tianyu SA (1 656).

After an uncertain start in Australia, the market improved slightly to close the week 0,3% down in Australian dollar terms from the previous sale.

The OVK auction offered 2 893 bales of which 91,08% were sold, with the highest price of R159/kg (clean price: R220,19/kg) going for a one-bale lot BFH of 16,5 microns from the clip of PWB Uys Boerdery from the Wakkerstroom district. The buyer was G Modiano SA.

BKB’s top performers were DD Davies of Adelaide for a BFFH of 15,7 microns and clean yield of 75,4%, sold for R200/Ȳkg; and Hassiefontein Trust of Molteno for a DFY of 14,7 microns and 75,1% clean yield sold for R177,10/kg.

Around 11 184 bales will be on offer at the next sale. –

THE MARKET DELIVERED POSITIVE RESULTS IN US DOLLAR TERMS