Merino RWS Premiums
In March Mecardo looked at how RWS premiums for crossbred wool had revived from their low levels of 2023-24. Given the magnitude of the rise in merino prices this season it is timely to check how RWS premiums are tracking for merino wool. Last July, Mecardo looked at RWS premiums for merino and crossbred wool […]
Wine, fine merino wool and cashmere prices
Crossbred and then merino prices have staged strong recoveries during the past 18 months. In 2025 international trading patterns were thrown into uncertainty by US tariffs, and in 2026 the uncertainty has been magnified by conflict in the Middle East. It seems timely to see how other luxury commodities are faring amongst this economic flux. […]
A look at cyclical price peaks in the merino market
Mecardo last looked at the extent of rising price cycles in 2018, when prices were high for all qualities of wool. Given the rapid change in wool prices this season it is time to look at the recent price rises and how they stack up against history. Geo-politics and economics are dominating the news at […]
Varying estimates of the Australian sheep flock
There is always some variation between flock size estimates, depending on the time of year the estimate is made, the quality of survey and the method of estimation. However the current situation has a 10 million head difference between the main estimates, which in a flock of 55-67 million is a large variation. The wool […]
Oil and fibre prices
Armed conflict around Iran and the consequent choking of freight from the Persian Gulf via the Strait Hormuz has driven oil prices to high levels. The economic effects of high oil prices are manifold. In this article we take a look at what is happening to apparel fibre prices. Oil prices are quoted from many […]
Merino micron premiums and discounts
The difference in price across merino micron categories in percentage terms is low at present, while reasonable in nominal cents per kg terms, less so when adjusted for inflation. As this is an area merino producers can add value through adjusting quality (fibre diameter) it is time to check in what is going on. Twenty […]
Crossbred RWS premiums and volumes
Crossbred prices have, in the past year, recovered a lot of the price lost in 2019-2023 in both Australian and US dollar terms. On top of these price rises, premiums for RWS accredited wool have also rebounded, which is what this article looks at. As crossbred wool prices plunged to depressed price levels in the […]
Potential for wool to follow synthetics higher?
Synthetic fibres rely heavily (like most supply chains) on Oil, and the conflict in the Middle East presents a number of challenges for agricultural markets, here we take a look at the relationship of oil prices to merino wool and synthetic fibres. Oil is a vital source of energy in modern economies, accounting for 40% […]
Another look at the implications of an El Nino on rainfall
The mention of an El Nino has the scribes seeking forecasts and projections for agricultural commodities through production to price. This article takes a look at what an El Nino forecasts, using rainfall from various regions since 1979. Mecardo has covered the implications of El Nino to rainfall before in May 2023 (See article here). […]
A look at southern hemisphere merino wool production
The main southern hemisphere wool exporters (from west to east; South Africa, Australia, New Zealand, Argentina and Uruguay) are by default the major suppliers of merino wool to the supply chain. This article takes a look at the total supply of merino wool from these countries by micron, filtering the volumes for non-mulesed and RWS […]
Will a rising Australian dollar impact commodity prices?
The higher Australian dollar has prompted questions about the likely impact on local extensive agricultural commodity prices. Mecardo has covered this topic before. The relationship between commodity prices and the exchange rate is not a straight forward one, assuming you can predict the exchange rate which is a big assumption. It appears time to update […]
Broad merino price, volume and price ratio
Greasy wool prices have increased markedly this season, in the absence of any substantial improvement in macroeconomic indicators or major apparel fibre prices, the usual proxies for demand. This article takes a look at the epicentre of falling Australian wool production in the 20–22 micron range, in terms of supply, price, and the price ratio […]