24 Aug 2008

Wool prices ease

3:00 pm on 24 August 2008

Demand and prices at Thursday's North Island wool sale in Napier eased after a sustained lift in recent weeks.

Wool Services International is linking lower prices to the exchange rate, with the New Zealand dollar recovering a little against the US dollar since last week. Demand for some wools has also softened.

It says prices for finer crossbred fleece and hogget wools and shorter length lambs' fleece came back by 2%.

Coarse second shear wool, which made up the bulk of the offering, fell between 2% - 3%.

But full-length coarse crossbred fleece resisted this trend, easing by only 1%. Prices for longer lambs' fleece remained steady.

Next week's auction of South Island wool will have almost 15,000 bales on offer. That's above the rostered amount due to more wool becoming available as the weather improves, allowing sheep to be shorn.