By Roelof Bezuidenhout
As the world’s leading wool producer, Australia remains a key market to watch. At Australian auctions this past week, Merino and crossbred wool prices improved, after two successive weeks of falls.
The top three exporting traders played a crucial role in driving prices higher, according to Scott Carmody, a trade consultant with Australian Wool Innovation (AWI). Chinese buyers dominated the bidding, while there was limited interest from other countries.
Carmody says buyer confidence seems to be growing, driven by expectations of a sharp decline in supply and the potential for strong future sales. Wool auction markets depend heavily on sustained confidence throughout the supply chain, and sentiment appears to be improving. Many traders and mills worldwide have reportedly stabilised their finances after years of losses, with their accounts returning to balance.
The focus is shifting to new opportunities in wool, with renewed optimism for a return to profitability.
In South Africa, the 21st sale of the 2024/25 wool season saw 95.7% of the 7 211 bales on offer successfully sold. The all-Merino indicator rose by 0,4%, closing at R173,25 p/kg, and the certified indicator gained 0,8% to close on R178,03 p/kg. A record price of R254,93 p/kg (clean) was paid for a single bale lot of 15,7-micron Merino wool. The leading buyers by volume were BKB Pinnacle Fibres (1 816 bales), Standard Wool SA (1 566), Tianyu SA (1 083) and G. Modiano SA (1 060).
 | Roelof Bezuidenhout is a fourth-generation wool, mohair, mutton and game farmer and freelance journalist. Attended Free State University, majoring in animal husbandry and pasture science. Other interests include golf, photography and geology. |
