Supply and price for broad Merino
Low wool prices, along with dry seasonal conditions, lead to poor sentiment. Given the current low wool prices (and apparel fibre prices generally) the question is whether they will rebound, and if so, to what level? Mecardo last looked at this subject in January 2023 (read more here). For this article, the AWEX eastern 21 […]
Argentine Wool Clip
With full season data available for the Argentine wool clip, it is time to review the wool production of this member of the Southern Hemisphere merino exporter club. Australia is the major supplier of merino wool but being the biggest producer brings no market power, only bragging rights, which is a standard feature for agricultural […]
Is the EMI still relevant?
The Eastern Market Indicator (EMI) is the default price series used for the Australian greasy wool market, as it is well known and has a history extending back to the 1980s. Change in the Australian flock structure has meant that the relevance of the EMI to the merino clip has progressively declined in recent decades. […]
Battle of the Merino: South Africa vs Australia
South Africa remains the major supplier of RWS-accredited merino wool for 19 micron and broader merino wool. This article looks at the South African merino clip in 2023-24 and compares it to the Australian merino clip. Regular market reports and supply analyses of the South African wool market are available on the excellent Cape Wools […]
Drop in WA wool substantial but not unprecedented
Varied seasonal conditions in different regions during the past year (ranging from good to awful), low prices and the live sheep export issue in Western Australia are depressing sentiments for the wool industry. This article takes a look at the latest AWTA core test volumes which are the best estimate of wool production in Australia. […]
Update on RWS premiums
Premiums for quality scheme-accredited wool continue in the greasy wool market. This article takes a look at RWS premiums during the past three months. Calculating premiums for various quality schemes remains a challenge as many lots are accredited to more than one scheme. As a consequence, this article focuses on RWS wool-accredited wool (which often […]
How is cotton going
The Australian cotton crop has a value in the order of three billion dollars and is the larger sibling to the older Australian textile of wool. Cotton is a big natural fibre, some twenty times the size of wool on a global scale. In addition, it has been the main staple fibre by volume and […]
Economic background to the Merino Market
The greasy wool market awaits improved demand which in turn depends upon economic growth in the major economies. This article updates where the economic backdrop to the wool stands. Mecardo last looked at the macroeconomic backdrop to the greasy wool market in early February (read more here). The conclusion at the time was that weak […]
Merino price in US and Aussie dollar terms
Wool prices, like the apparel fibre complex generally, are working their way through a period of low prices. There are a few bright spots in the apparel complex such as the linen price, driven higher by low flax supplies, and the very fine merino micron categories. This article looks at merino prices in Australian and […]
Decline in broad wool volumes out of Eastern pastoral regions
The greasy wool market in Australia and South Africa is well-serviced for price reporting via AWEX and Cape Wools. Supply, which is an important driver of relative prices within the greasy wool market, is less well reported. This article takes a look at sales volume by micron for merino and crossbred in Australia during the […]
Fine Merino volume and price: Impacts of waxing/waning demand
The 2023-24 season finished with wool prices generally easing, as they have for most apparel fibres. In this article, we look at the 16-18 micron categories in terms of volume, price, and gross sales value. Mecardo last looked at the price, volume, and gross sales value of fine merino wool in May 2021 (read more […]
Long look at 15 micron supply and prices
Fine merino prices tend to vary year to year inversely with the change in the supply of the fine micron category under consideration. It is an easy progression to assume that the longer-term trends follow a similar pattern. With this in mind, we take a long-term look at 15-micron price and volume. This article starts […]
