Thursday, 17 December 2015 06:55

Bounce for wool cheque

Written by 
A combination of factors have given wool cheques a lift and helped to balance sheep farmers' incomes. A combination of factors have given wool cheques a lift and helped to balance sheep farmers' incomes.

A combination of factors have given wool cheques a lift and helped to balance sheep farmers' incomes, says Kaikoura wool producer and industry representative Derrick Millton.

New Zealand spinning companies, although relatively small users of wool in this country, are flat out at the moment, says Millton, who is chairman of the Wool Research Organisation of NZ (WRONZ).

The lower dollar is also contributing. Either wool demand is increasing, or the supply is reducing, but all those things together "have given farmers' wool cheques quite a lift," he told Rural News.

"That is quite significant. You can put it down to all those things – supply issues, demand issues and people perhaps wanting to use NZ wool because of its superior production or processing capability.

"Hopefully the NZ wool industry is on a better path. Definitely three years ago it was below the level of production and now we are seeing some profits coming to farmers from wool production.

"After they have shorn their sheep there is a reasonable amount left. It's not substantial but that rise has been pretty useful."

He says the clean wool price is now at least $6/kg whereas two years ago it was $4-$4.50.

"Mid micron wool has been a star performer," Millton says. "It has started to really increase in price and compete with Merino. The apparel trade has boosted that." – Pam Tipa

More like this

Carpet maker Bremworth set for 'sustained growth'

Wool carpet and rug manufacturer Bremworth says it’s emerging from a period of significant transformation, rebuilding from damage caused by Cyclone Gabrielle and moving away from synthetics to the production of wool carpets and rugs.

Featured

Miraka CEO steps down

The chief executive of Taupo-based dairy company, Miraka – Karl Gradon - has stepped down from the role for personal and family reasons.

National

Chilled cow cuts enter China

Alliance Group has secured greater access for chilled beef exports into China following approval of its Levin and Mataura plants…

New CEO for Safer Farms

Safer Farms, the industry-led organisation dedicated to fostering a safer farming culture, has appointed Brett Barnham as its new chief…

Machinery & Products

AGCO and SDF join hands

Tractor and machinery manufacturer AGCO has signed a supply agreement with the European-based SDF Group, best known for its SAME,…

» Latest Print Issues Online

The Hound

Sacrificed?

OPINION: Henry Dimbleby, author of the UK's Food Strategy, recently told the BBC: "Meat production is about 85% of our…

Entitled much?

OPINION: For the last few weeks, we've witnessed a parade of complaints about New Zealand's school lunch program: 'It's arriving…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter