Nutrien Ag Solutions wool shearers.

The market slid lower this week, with all sections struggling to maintain recent levels. The crossbred section ended its recent run of stronger prices to post 5 to 20¢ drops week on week.

The Eastern Market Indicator (EMI) fell 10¢ to 1,128¢/kg, however, the weaker Au$ cushioned the decline in US¢, as the EMI in US$ lost 1¢ to 724¢. Merino types were most affected, with falls between 4¢ & 61¢, as 16.5 & 17 MPG were the hardest hit.

There was little to report with exporters’ content to let the market drift. Growers are not lifting pass-in rates in this lower market, probably due in part to the decline in sheep prices and the need to secure cash flow. The Sydney pass-in rate averaged 4.4% for the week.

Crossbred types were mixed, 28 & 30 MPG were cheaper while 32 MPG added 5¢ to 317¢/kg in Melbourne.

Auctions cleared 36,040 bales of the offered 39,692 bales with 9.2% passed in.

This week on Mecardo Andrew Woods looks at the recent rally in Crossbred prices which have picked up from the low levels of June. The 28 and 30-micron prices remain at very low levels in relation to Polyseter Staple Fibre (PSF) prices, therefore they appear supported so long as PSF prices do not drop. Further significant rises in US dollar terms appear limited as supply remains plentiful and the crossbred gross sales value does not appear to be increasing.

Next week

44,552 bales are currently rostered for next week’s sales which will operate on Tuesday and Wednesday at all three centres, Sydney has a designated Super Fine sale.

Have any questions or comments?

We love to hear from you!

Click on graph to expand

Click on graph to expand

Click on graph to expand

Data sources: AWI,AWEX, Mecardo

Make decisions with confidence- ask about our board packs, bespoke forecasting and risk management services

Have any questions or comments?

We love to hear from you!

Want market insights delivered straight to your inbox?

Sign up to the mailing list to get regular updates to new analysis and market outlooks

Independent analysis and outlook for wool, livestock and grain markets delivered to you as it’s published

Commodity conversations podcast cover image, a illustration of a sheep standing on a cow's back with grain either side
Listen to the podcast

Join the Mecardo team for the Commodity Conversations podcast, where we provide short weekly market recaps and longer conversations with guests to discuss the drivers and trends in livestock, grain and fibre markets.

Photo of a farmer surrounded by Merino sheep in dusty yards
Research: Analysis of the Australian sheep flock

In this report for LiveCorp and MLA, we analysed the historical trends in the demographics of the Australian sheep flock, examining domestic factors that influence farm-level enterprise decision making. 

Image of harvested grain pouring into a chaser bin

We don’t just bring you the most up to date market insights. Find out more about Mecardo’s services including risk management advisory, modelling, benchmarking, research & consultancy.