Shearing contractors are trying to catch up after delays caused by the wet weather.
The disruption has forced the cancellation of this week's scheduled North and South Island wool sales, when about 8000 bales were due to be auctioned.
Next weeks' auctions will go ahead, but are expected to be several thousand bales short of what was rostered.
The Shearing Contractors Federation says sheep can't be shorn in wet weather, which has disrupted pre-lamb shearing.
Federation president Barry Pullen says there are also quality issues, such as shorter wool grown by sheep getting less feed in drought conditions.
But Wool Services International says some regions have had good wool growing conditions that have balanced-out the drop in supply from drought areas.
Wool buyer Malcolm Ching says the supply of wool could be up by 20% over last season in terms of weight.