Australian wool auctions this week saw the conclusion of the 2024/25 wool selling season.  The Eastern Market Indicator (EMI) in both US dollar (USD) terms and Australian dollar (AUD) terms didn't budge off the established levels and closed the season off with the seldom seen week to week movement of zero in both currencies.

On the surface, that lack of change in the general indicators hid the fact that most crossbred and carding types put on some handy gains. Values appreciated to the order of anywhere between 5 and 20ac within both those type sectors. The Western Australian selling centre of Fremantle also added around 15ac /clean kg to their mostly Merino indicator on the sole day of trading on Tuesday.

Additionally, a majority of the Merino fleece on offer in the two Eastern Australian auction room centres saw prices falling away somewhat. Most quotes by week's end were a general 5 to 10ac lower on average, but once again, this figure came about by a heavier price reduction on poorer specification sales lots, whilst the better lots remained reasonably firm. 

Of particular note this week was the larger discounts the market has now applied to the very low yields from drought affected growing regions. Whilst other test results are within the norm, the price adjustment for sale lots with Schlumberger dry 1% yields lower than around 60% has now blown out to be around 40 to 50ac below the average for similar micron and VM results. The offshore top makers are soaking those lots up, with traders only able to absorb the odd lot or two, thus the reduction in competition.

The largest China top makers were again the main buyers this week and quite noticeably, as prices slowly reduced within the Merino fleece sector, their buying intensity appeared to lift further. The top two (direct buying) top makers eventually took a third of the sold Merino fleece wool available this week. Australia’s largest exporter was also very active by acquiring around 15% of the entire offering.

RWS certified scheme clips continue to achieve the top prices for the week and across all microns. This is around 150ac + above the normal types of price levels and are percentage wise greatest at the 19-to-20.5-micron area.

Around 30,000 bales will be offer at all centres to start the new season and selling Tuesday and Wednesday in the East, but Fremantle just on Tuesday.