13 Apr 2012

Wool demand down again

12:32 pm on 13 April 2012

Demand for wool reached a new low for the year at this week's South Island sale. Only half of the 12,500 bales on offer, were sold.

Wool Services International says the high New Zealand dollar continues to contribute to a drop-off in demand, as well as high customer stock levels.

It says that's driving prices down further, mimicking recent trends in other wool producing markets around the world.

Fine cross bred fleece and shears eased by up to 5%, along with coarse fleece and shears.

Long first lambs wool ranged from 2% - 7% cheaper, with shorter types up to 4% weaker.

Next week's sale will offer 9000 bales of North Island wool.