Wool prices hit new high

GOOD demand and a weak currency pushed wool prices to a fresh high this week.

The Cape Wools Merino indicator gained 1.6% to close at R120.18/kg (clean), surpassing all previous record prices. This is a 17.9% increase on the opening sale and is up 8.8% on the corresponding sale last year.

Cape Wools SA public relations officer Lizelle Delport said good quality wools with length were  well sought  after and traders said  fine wools had more realistic prices at the sale.

Traders supported the medium to stronger types  well, with 21 microns gaining 2.9%. The  offering was  11120 bales of which 97% was sold. Major buyers were Modiano (2689), Standard Wool (2501), Lempriere (2393) and Stucken & Co (1552).

The average clean prices for   good top-making (MF5), long fleeces were as follows: 18 microns were down by 2.1% to R130.42/kg, 18.5 microns dropped by 1.1% to R129.90, 19 microns gained 1% to R127.37/kg, 19.5 microns were up by 1.8% to  R122.98/kg, 20 microns rose by 1.6% to  R121.89/kg, 21 microns were up  2.9%  at R121.29/kg, 21.5 microns gained 4.9% at R123.18/kg and 22 microns shed 0.7% to  R118.48/kg.

The next sale is scheduled for  Wednesday. About 7500 bales will be on offer. – Business Reporter