Australian Wool Market Continues to Break Records
December 15, 2017
With the annual three-week Christmas recess about to begin, this week was the final opportunity for buyers to secure significant quantities of wool. The upcoming break created a “perfect storm” in the market place.
All types and descriptions, across the entire merino spectrum experienced sharp price increases. The rises continued unabated until the beginning of the final day, when buyers finally became more selective, stabilizing prices. The end result was general price increases of 40 to 90 Australian cents.
Already sitting at a record high, the Benchmark Eastern Market Indicator added a further 61 cents, pushing it to a new high of 1760 Australian cents. Notably, this is the first time the EMI has broken through the 1700 cent barrier. The EMI has added 405 cents for the year, an annual increase of 29.9 percent – the largest amount since 2002. The total amount of wool sold surpassed $3 billion this calendar year for the first time since records began (1995).
The EMI has posted rises for the past three calendar years totaling 701 cents. The micron price guides for 16.5 micron all the way through to 22.0 micron hit record highs in all centers on Wednesday, before softening slightly on Thursday. The skirting market also made significant gains, recording general increases of 40 to 60 Australian cents.