Australian Wool Innovation Limited (AWI) conveyed that Australian Bureau of Statistics (ABS) data reveals demand for Australian exports of raw and semi-processed wool during the first four months of the 2005/06 season dropped in both volume and value terms.
Australian wool prices in $A terms have been affected by the strong $A against the $US and overall, the lack of demand for raw and semi-processed wool has helped pull down the value of Australian exports over the four month period.
Despite a lift in Australia's exports of fine wool (19.5 micron and finer) during October, volumes during the four month period reflect strong year-on-year declines during August and September.
Exports of mid-micron wool (in the 20-23 micron and 24-27 micron ranges) also declined year-on-year, reflecting a large drop in auction offerings during the same four month period.
China continued to increase its market share of Australian raw and semi-processed wool during the July to October period, accounting for 59 percent of the market, up from 47 percent for the same time period in 2004.
While volumes of wool shipped increased significantly, values rose more moderately reflecting the lower price of wool during the period.
Similarly, the Czech Republic has begun to take more of Australia's raw and semi-processed wool. While Italy remains Australia's second largest export destination, its market share of continues to diminish.
AWI initiates, commissions and delivers research and development (R&D) to Australian woolgrowers. We work through alliances and contracts and, where possible, we commercialise R&D outcomes.
Australian Wool Innovation Limited
marketing@alchempro.com
