Cape Wools Weekly Market Report

After another week’s recess, the 2021/22 wool selling season continued today, with the 4th sale of the season taking place.

A small offering of 3 747 bales was available for sale today, with another wool sale scheduled for tomorrow, 15 September.

Amidst a stronger SA currency of 1.7% against the US$, the market delivered steady results, closing 1.3% up from the previous sale, to close on R167.16 p/kg, with the market delivering a positive increase of 3.1% in US$ terms. An overall sales clearance of 96.9% was achieved.

The offering mainly consisted of fine micron merino wools, with 63% of the merino wools on offer being certified as sustainable.

There was good competition for the finer micron merino wools, with the sustainable wools on offer outperforming the market and ultimately supporting positive price levels.

With the exception of the 22,5-micron category, all micron categories delivered positive results.

The Australian market traded softer on their sale today, closing down 1.2% (AU$) from the previous sale held on Wednesday, 8 September.

The major buyers on today’s sale were: Modiano SA (814), Tianyu SA (752), Standard Wool SA (704) and Lempriere SA (498).

The average clean prices for the selection within the different micron categories for good top-making (MF5), long fleeces were as follows: 18,0 microns increased 1,2% to close at R225,08/kg; 18,5 microns moved 1,4% up to close at R214,42/kg; 19 microns gained 2,6% to close at R191,01/kg; 19,5 microns strengthened by 3,0% to close at R178,98/kg; 20 microns was 2,1% stronger to close at R160,35/kg; 20,5 microns won 1,2% to close at R157,38/kg; 21,0 microns recovered 0,5% to close at R154,29/kg; 21,5 microns improved by 1,1% to close at R151,66kg; 22 microns rose/ 1,7% to close at R141,00/kg and 22,5 microns declined by 2,0% to close at R135,08/kg.

The next auction is scheduled for 15 September 2021.