Vegetable fault in the Australian wool clip

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Wool quality varies in response to changing seasonal conditions which is one of the challenges wool processors have to cope with. Quality usually has a seasonal pattern of variation as well as variations between seasons. With quality in mind this article takes a look at vegetable fault quality levels in the Australian wool clip.

There is a wide range of types of vegetable matter (VM) in the Australian wool clip (more information in the Woolwise link here) . VM is viewed as a contaminant[1] which must be removed, with different levels and types of VM having varying costs of removal. Higher than normal VM levels make it difficult for exporters to put consignments together with the typical average VM level of 1%, causing discounts for higher VM to rise and exporters to pay premiums for very low VM wool.

Mecardo last looked at VM in the Australian clip in 2023 (article available here) noting the different patterns in VM levels for fine and broader merino wool (really high rainfall and pastoral zone focussed production). Wool reflects the seasonal conditions in which it has grown hence it is a record of the recent past. It is not clear that all processors have a good understanding of this, where typically in southern sheep regions spring rainfall has a big influence on wool qualities in the following calendar year.

Figure 1 shows the monthly VM level for wool sold in eastern selling centres from 2010 onwards. This is an average VM level which combines wool coming from different regions. Overlaid on Figure 1 is a rolling five year median, as a guide to the seasonal pattern. The current average VM level is running very close to the rolling five year median and has done so for the past couple of seasons. It was last at elevated levels (higher than normal) in 2023, with the minimum levels in 2021 and 2022 also being well above the rolling five year median.

There is an interesting change in the rolling five year median in Figure 1. The seasonal minimums have risen from 1.7-1.9% to 2.1-2.2% in recent seasons. The high minimums have all been after the 2017-2019 drought, and have now dragged the rolling five year median up.

Figure 2 repeats the exercise for Western Australia. VM levels are generally lower in the west, and there is not comparable trend of increasing seasonal minimums as seen in Figure 1. Current VM levels are well above the rolling five year media.

Figure 3 looks at the eastern selling centres, focussing on merino wool which is broken into three micron categories. It is a messy graphic but it shows clearly finer merino wool tends to have lower VM levels than 19 micron and broader merino wool. The broader merino fleece used to push to the upper VM range but since 2021 it has wandered between the 19 micron and 16-18 micron VM levels.

Figure 4 repeats the analysis of merino VM by micron category for Fremantle. In the west the VM by micron gradient is reversed, with broader merino having lower VM levels and finer micron higher VM as a rule.

[1] Vegetable Matter in Australian Wool AWTA

What does it mean?

In terms of the seasonal ebb and flow of VM all seems normal at present with the western VM starting to fall and the eastern VM still in its high phase at it should be to August. In terms of actual VM level the finer merino microns are experiencing high levels in the west. The overall VM average in Western Australia peaked at 2.3% in May, a high level, while the overall eastern average has been tracking as expected.

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Key Points

  • VM levels in eastern Australia are following their rolling five-year median level (on average) although it is becoming increasingly more difficult to define what is a normal VM level for broad merino wool.
  • In Western Australia the average VM level has peaked (at a high level) and is now falling which is a normal seasonal pattern.
  • VM levels between merino micron categories are widespread in the western clip at present.

Click on figure to expand

Click on figure to expand

Click on figure to expand

Click on figure to expand

Data sources: AWEX, AWTA, ICS, Mecardo

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