Wool exporters are keeping a close eye on the drought, because of its potential to disrupt supply.
Wool Exporters Council representative John Dawson, of Wool Services International, says prolonged drought can also affect the quality of the clip.
He says the main effects are usually on colour and fibre, which generally becomes finer and weaker.
Mr Dawson says drought also makes farmers reluctant to shear because shearing invariably increases the animals' appetites, which is a problem when there are feed shortages.
He says if the drought leads to capital stock being killed, then that could mean more wool - but that in turn could have ramifications for wool volumes in the following seasons.
On the other hand, he says, a smaller supply of wool could push up the price.
Mr Dawson says the strong-wool price indicator is currently sitting at the same level as at the end of last season, in June last year.
