The 24th sale of the 2019/20 wool season took place on 19 March, with 10 180 bales on offer. A third of the offering was withdrawn on the first day, with a 76% sales clearance achieved on the remainder of the wools offered. The wool market closed 12,5% (2 220 points) down at a value of R155,69/kg for clean wool. The Australian EMI dropped by 5,5%.

Coronavirus crisis

In line with what the Australian market experienced this week, the wool market succumbed to the global impact of the continuing coronavirus crisis. Compared with the average rate at the previous sale, the rand was 5,6% weaker against the US dollar and 1,7% weaker against the euro. The market weakened by 17,2% in US dollar terms.

Despite all micron categories being under pressure, there was still some good competition from buyers, albeit at lower price levels.

Average price per category

The average clean prices within the different micron categories for good top-making (MF5) long fleeces were as follows:

  • 18 microns decreased by 13% to close at R166,94/kg.
  • 18,5 microns moved down 12,6% to close at R164,76/kg.
  • 19 microns lost 13,3% to close at R161,54/kg.
  • 19,5 microns weakened by 16,4% to close at R161,07/kg.
  • 20 microns was 12,6% weaker to close at R160,63/kg.
  • 20,5 microns lost 13,5% to close at R158,87/kg.
  • 21 microns dropped by 14,8% to close at R152,98/kg.
  • 21,5 microns tumbled 8,6% to close at R161,99kg.
  • 22 microns fell by 9,8% to close at R155,86/kg.
  • 22,5 microns declined by 10,7% to close at R156,32/kg.

The next sale is scheduled for 26 March 2020. – Press release, Cape Wools