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The wool market strengthened in the penultimate sale of the season, with the Eastern Market Indicator (EMI) rising by 10 cents to close at 1,207 cents per kg. Despite the smallest weekly national offering of the season at 20,756 bales, competitive bidding led to widespread price gains and a low pass-in rate of 5.4%.

Only Sydney and Melbourne held sales this week, with Fremantle not operating. The reduced volume intensified competition, resulting in gains across most fleece categories. The 17 MPG lifted 15 cents to close at 1,722 cents, while the 19 MPG in the South rose 12 cents to finish at 1,486 cents. The 21 MPG also posted a solid result, gaining 10 cents to reach 1,415 cents. Merino cardings strengthened as well, with the Southern MC Indicator up 9 cents. The consistent support across finer and broader microns reflected firm buyer demand despite the season’s smallest national offering.

Crossbred wool continues to outperform Merino in recent months. The Southern 26 MPG has surged 11.9% since early May, rising from 588 to 658 cents per kilogram. Similarly, the 28 MPG advanced 7.8%, lifting from 422 to 455 cents, while the 30 MPG recorded the strongest growth, jumping 12.5% from 360 to 405 cents

While the EMI sits 4.1 percent higher than the same time last year, seasonal volumes remain well below average. National offerings are down nearly 14 percent year-on-year, with all regions contributing to the decline. This tightening in supply has helped support prices in recent weeks, particularly for crossbred and finer Merino types.

This week in Mecardo, Andrew Woods looks at the Ultrafine market (See article here). Ultrafine Merino volumes are rising, yet prices remain strong. Despite increased supply of 12–14 micron wool, these categories continue to trade in the top price quartile, highlighting firm demand from premium end-users.

The week ahead….

Fremantle returns next week for the final sale of the season, lifting the national offering to 32,648 bales. The question now is whether this late-season strength can carry through into the new financial year and set a firmer tone heading into 2025.

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Data sources: AWEX, Mecardo

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