Good wool sale, but big drop on October

Press, Volume CXII, Issue 33065, 4 November 1972, Page 22

Good wool sale, but big drop on October

Yesterday s Christchurch wool sale was really a very good one, but was something of an anti-climax after the buovant sale a month ago, when prices reached their highest point since the 1950-51 boom season. For all fleece wools, values were lower than at the October sale by 35c to 45c a kilogram.

But even if growers felt they were losing a little of the icing off the cake, they had cause for some satisfaction in that compared with their fellow’s who sold at the Christchurch August sale, they were still showing a massive gain of 50c to 55c a kilogram on halfbred, Corriedale, and Merino wool, and from 20c to 35c on crossbred wool.

They were also far ahead of the market of a year ago, although even then the fine wools were starting to pick up. Fine wools yesterday were from 90c to 110 c in advance of last November, and crossbreds were up by 60c to 90c. Estimates of the average price of the sale vary from 128 c to 135 c a kilogram. Should the average be about 130 c, it will be about 128 per cent up on the 57c average of last November, and about 22 per cent down on the average of 168.5 c realised last month. SIGNIFICANT FEATURE

A significant feature of the sale was that while prices were so far behind those of last month, and well behind the last fine-wool sale at Timaru in midOctober, the market for crossbred wool began to gain ground again, and compared with this week s Auckland sale, fine crossbreds were 7J to 10 per cent dearer, coarser sorts and skirtings 2j to 5 per cent better, short oddments 7J per cent up; and during the day, fine crossbred tended to get dearer. In fact, the market generally tended to strengthen as it went along, after a little uncertainty In the early stages with the new level of values for finer wools, which formed about 67 per cent of the offering. Compared with the Timaru sale, medium and strong halfbred wools, and also short oddments, were about 15 to 20 per cent cheaper, finer halfbreds were down by 12 to 15 per cent. Merino by 12 J per cent, and

halfbred skirtings by a similar amount OPTIMISM There was optimism to the sale room that the market could now be settling out, and would not lose any more ground. The finer wools were now reckoned to be at about the rates recorded on the second day of the Dunedin sale early last month. In the opinion of some observers, even another upswing in prices is not out of the question. A short supply is still a key factor, and the Wool Commission has all but disposed of its stockpile. A shortage factor could also have contributed to the strengthening of the market for crossbred wools yesterday, when they comprised only about 30 per cent of the offering. Buyers are understood to still have considerable commitments to meet. Bradford is thought likely to have to come into the market soon to meet early New Year requirements.

There was also talk of a ban on the export of wool from Uruguay, and of Chinese and Russian interest to New Zealand wool.

The continuing weakening of sterling is acting to the advantage of overseas buyers who are buying sterling to secure New Zealand wool, but a factor unfavourable to wool is that both France and Germany are reported to have raised their bank rates, making overdraft accommodation dearer. Continental and Eastern European interests were the main buyers yesterday, with some support from Japan and local mills. There were a few passings, but in one catalogue they amounted to less than 1 per cent. TOP PRICE The top price of the day was 198 c for Corriedale hogget wool from the Scargill district. The main weight of fine halfbred and Corriedale wool brought from about 165 c to 180 c, with medium qualities selling mainly from 156 c to 170 c, and stronger wools from 148 c to 165 c. Although prices for these wools were lower yesterday, some good sales were still recorded. F. Westenra (Craigieburn) sold 36 bales from 187 c to 196 c. Merino wool ranged mainlv from I7oc to 186 c, and in this category J. F. Cooper, Ltd (Blenheim), sold 63 bales from 180 c to 192 c An indicator of the big improvement in the market on that of a year ago, the Estate B. Murray-Aynsley (Mount Algidus), which last year topped the market at 84|c, yesterday received 186 c for its top offering of Merino.

The bulk of the fine crossbred sold from 140 c to 160 c, with strong and medium qualities making from 120 c to 135 c. Fine-wool necks sold from 120 c to 168 c, with coarser necks at 133 c to 159 c; fine-wool pieces from 96c to 154 c. and coarse Pieces from 83c to 127 c; fine-wool bellies from 104 c to 149 c. and crossbred bellies from 90c to 115 c: with fine erutchings ranging from 55e to 103 c. and coarser sorts from 72c to 118 c. The offering of 21,032 bales was drawn mainlv from Canterbury and Marlborough, with smaller selections from Nelson and the West Coast. Woolly hogget wools predominated in the selection. LEADING PRICES Ntoe bales of fine Corriedale hogget from R. C. Overton (Scargill) topped the market at 198 c. Three sales of Corriedale wool were also made at 194 c. M. J. Ensor sold four bales of hogget at that price; Awapuni Farm (Walkari), five bales: and T. Burgin (Swannanoa), nine bales. For four bales of hogget, L. R. Forrester (Hawarden) received 191 c, and J .W. Ensor (Rangiora) sold five bales of hogget at 190 c.

Halfbred wool sold to 196 c for eight bales of two-tooth wool from F. Westenra (Craigieburn). The same vendor also sold eight bales of hogget at 194 c, six bales of two-tooth at 192 c, four bales of hogget at 191 c, six bales at 188 c, and four bales of twotooth at 187 c.

Wrightson-NMA, Ltd, sold four bales of binned wool at 194 c, H. G. Mowat (Laurlston) sold seven bales at 191 c, and Cloudy Range, Ltd (Waiau), six bales of hogget at 190 c.

Sales at 189 c were recorded by A. C. Shand and Son (Culverden), with six bales of hogget, and by Stewart and Rae, Ltd (Waiau), also with six bales of hogget. In the Merino section, T. F Smith (Clarence) sold three bales of hogget at 196 c, and also 12 bales of fleece at 195 c. Dalgety New Zealand, Ltd, also received 196 c for five bales of binned wool—strong Merino. Muller Station, Ltd (Awatere), sold 21 bales of ewe wool at 194 c, 19 bales of ewe and 12 bales of wether at 193 c, and seven bales of wether at 190 c. Sales at 192 c were recorded by J. F. Cooper, Ltd (Blenheim), for six bales of wether wool, by J. D Balfour (Blenheim) for six bales of hogget, and by G. M. Black (Awatere) for five bales of hogget. EXTRA-FINE CROSSBRED

Quarterbred made to 185 c for three bales in the bins of Wright-son-NMA, Ltd, and three-quarter-bred sold to 164 c for 16 bales from J. D. Caldwell (Cheviot). Wrightson-NMA, Ltd, sold six bales of extra-fine crossbred at 175 c, and also nine bales of hogget at 174 c. The latter price was also received by Knoekindale Estate (Pigeon Bay), for five bales of hogget, and the same vendor received 171 c for another five bales of hogget. Annandale Estate (Pigeon Bay) realised 171 c for seven bales of hogget, and J. McMillan (Methven) sold eight bales of hogget at 170 c.

Second-shear crossbred brought to 142 c for three bales in the bins of Pyne. Gould. Guinness Ltd Sales under growers’ brands included six bales at 128 c from D. O. and R. T. Masefield (Goughs Bay), and five bales from 1. J. Scott (South Westland), at 127 c. Perendale wool sold to 180 c for 11 bales of hogget from B. and P. Parkinson (Kaituna). Birch Hill Station (Okuku) also sold five bales of hogget at 167 c. For five bales of Down-cross, V. R. Copland (Ashburton) was paid 153 c. Details of catalogues, to order of sale, were:— Bales New Zealand Farmers’ Cooperative Association, Ltd. 3900 Dalgety New Zealand, Ltd 6615 Wrightson-NMA, Ltd, 5003 Pyne, Gould. Guinness Ltd 5514 Total: 21,032