Wool prices strengthen in New Zealand (New Zealand)

New Zealand Wool Services International Limited reported that today’s wool sale held in the South Island comprised 10,334 bales of which 7,587 of these reached market reserves or above.

The weighted indicator for the main currencies was up 2.09 percent and 73.5 percent of the offering sold. Increased demand coupled with continued grower resistance to further declining prices saw price levels resist the strong New Zealand dollar.

Compared to the North Island sale on 31st May 2012 Coarse Crossbred Fleece and Early Shorn types 3 to 5 inch and longer were 5 percent dearer. Coarse Crossbred Second Shears 2 to 4 inch and 3 to 4 inch were 4 percent dearer.

First Lambs 1 percent dearer. Crossbred Oddments were 2 percent dearer. A good spread of buyers was active including China, India, Western Europe and Australasia with support from United Kingdom and Middle East. Compared to the last South Island sale on the 24th May prices were generally firm to buyers favour.