Prices rise after the Easter recess

Man shearing a sheep in a shearing shed

Prices have risen again after the Easter recess with the EMI up 39¢ to 1825¢. This price rises comes after an increased bale offering up 8513 to 44,765 – a 23.5% increase compared to the previous sale, which also recorded significant price rises. All in, these rises have brought the EMI to its highest level since June 2019.

This week the pass in rate remained low at 2.6% despite the higher offering. The 43,596 bales sold is 35.9% higher than the this time last year.  The low pass in rate and price increases indicate strong buyer demand after the recess.

All local market indicators jumped, with Sydney rising 36¢ to 1884¢, Melbourne 40¢ to 1785¢ and Fremantle by 45¢ to 2052¢, bearing in mind these increases were made on the back of even stronger rises in the previous sale prior to the Easter recess.

In Sydney, 17 and 17.5 MPG both rose by 57¢ to 2537¢ and 2512¢ respectively. 20MPG rose 65¢ to 2125¢, Crossbred wool 26 MPG rose 3¢ to 838¢ and cardings rose 32¢ to 1100¢.

In Melbourne, 17.5 MPG rose by 65¢ to 2497¢ and 18.5 MPG rose 57¢ to 2377¢. 25 MPG decreased by 19¢ to 991 but this was the only price dip in the south with 26 MPG rising 28¢ to 868¢. Cardings finished 26¢ higher to 1078c.

In the west, strong gains were made in fine and medium merino with 18 MPG up 67¢ to 2451¢ and 19.5 MPG up 57¢ to 2193¢. Cardings fell slightly by 8¢ to 1074¢ however this was on the back of a 69¢ increase in the previous sale.

This week in Mecardo, Andrew Woods explores the industries differing flock population estimates and the implications of being unable to ascertain accurate flock numbers on the wider industry (available here).

The week ahead….

Next week’s offering is significantly lower, down to 32,746 bales. After two strong weeks of sale before and after the Easter recess, will the lowered bale offering next week be enough to keep pass in rates low?

Auctions are scheduled for Tuesday and Wednesday in Melbourne and Fremantle and just Wednesday in Sydney.

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Data sources: AWEX, Mecardo

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Shorn wool in heap in shearing shed
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