Wool Market Reports
COVID-19 WOOL MARKET UPDATE
The COVID-19 pandemic is having a major negative impact on the global wool market which has virtually come to a standstill. Numerous mills around the world are closed along with others involved in the wool supply chain. Most of the major wool producing countries with the exception of Australia have recently suspended wool auctions as steps are being taken to flatten the curve and control the virus on a worldwide basis. Global demand for raw wool was weak before Covid-19 restrictions were imposed for travel, social, and commerce. As a result wool trading conditions have continued to deteriorate or are non existent at the present time due to the high level of uncertainty that exists in the marketplace.
At CCWG we are still accepting wool at our branch and wool depot locations. Producers are encouraged to call ahead to book a wool delivery appointment. The Carleton Place wool grading facility continues to operate so that graded wool is ready for shipment when there is an opportunity to sell. Wool will be accepted on a consignment basis only until further notice. Initial...
CCWG Wool Market and Business Update – Fall 2019
2018 / 19 Wool Market Update
The wool market has been experiencing quite a rough ride for the current wool marketing year. During the first quarter the market seemed to be on track for stable conditions with both fine wool and crossbred types achieving reasonable prices and demand. There were expectations at the time that good progress was being made for a new China / USA trade agreement.
This situation however was short lived from April onwards as a number of factors came into play. Traditionally the market for wool is at its best and consumer confidence is greatest when there is positive growth in global economies and a stable worldwide political environment. The current situation of widespread indecision and uncertainty has had a detrimental effect on all value chain partners within the entire wool textile industry. China is the world’s largest market for woolen garments of which approximately 45% is for domestic consumption and the remaining 55% for export. The escalation of the China / USA...
CCWG Wool Market and Business Update – Fall 2018
2017/18 Wool Market Update
In the last 12 months fine wools from all origins have achieved unprecedented record prices although at the time of this writing prices have pulled back for most microns in the last couple of weeks. Unfortunately the crossbred and broader wools which are much more plentiful in supply have been left behind for the most part and have only recorded marginal increases compared to the previous year.
The growth in fine wool prices can be attributed to two main factors. There is major concern regarding future available supply due mainly to ongoing Australian drought in most of the major wool producing states. This has resulted in decreased production ie lower fleece weights due to feed shortages and reduced sheep numbers. For the 2018/19 season it does not look any better with the current forecast of a 5.7% reduction in the Australian wool clip.
As always, China is playing a major role in influencing the market due to the...