African wool prices slightly higher at second sale

30 Aug '12

2 min read

Stronger demand and a weaker currency contributed to the slightly higher prices fetched for some types at the second sale of the season, which saw the Cape Wools Merino indicator gaining 1.2% to close at R88,41/kg (clean).

Quality, long fleeces in particular were in good demand. Prices for fine wools, however, remained under pressure.

The rand had depreciated by 2.7% against the US dollar compared with the average rate at the previous sale, trading at R8,38, while it was 4.7% weaker against the euro at R10,51.

A total of 7 694 bales were offered of which 98%, which was considerably higher than the 88% achieved at the previous sale. Major buyers were Standard Wool SA (3 414 bales), Lempriere SA (1 495 bales), Stucken & Co (1 012 bales) and Modiano SA (967 bales).

The average clean prices for the different categories good top-making (MF5), long fleeces were as follows: 18 microns were down 0.6% at R99,36/kg, 18,5 microns shed 1.8% to R95,36/kg, 19 microns dropped 0,9% to R94,28/kg, 19,5 microns were down a marginal 0.2% to R93,45/kg, 20 microns gained 0.6% to close at R92,75/kg, 20,5 microns were up 0.6% at R92,47/kg, 21 microns rose 1.1% to R92,31/kg, 21,5 microns were a slight 0,3% cheaper at R91,80/kg and 22 microns were down 0.4% to close at R91,81/kg.

Approximately 8 000 bales will be offered at next week’s sale.

Cape Wools

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