20 Jan 2014

Limited wool supplies keep auction prices up

8:23 am on 20 January 2014

Restricted supplies of New Zealand wool are helping to keep auction prices on the boil at the first sales of the New Year.

Despite the negative impact of a stronger New Zealand dollar on export returns, the value of nearly all wool lifted at last week's combined North and South Island sale, by up to 5% for cross-bred fleece and 7% for lambs' wool.

Exporter New Zealand Wool Services International says that's due to a combination of renewed interest from buyers and the restricted supplies still coming through for auction.

The shortage led to the first South Island sale of the year being cancelled.

This week's sale will be another light one, with a bit over 14,000 bales of North and South Island wool rostered for auction.