Wool exports tumble

Press, 6 March 1978, Page 16

Wool exports tumble

PA Wellington The slump in world prices sent New Zealand’s wool exports to Europe falling during the first six months of the present season. The price slump forced the Wool Marketing Corporation to step up its buying activity in the six months ended December 31 to stabilise the return to the woolgrower. With the corporation buying more wool than in the first six months of the previous season, less wool was available for immediate export. The average price for greasy woo] in the six months ended last December was 198.51 a kilogram compared to 228.76 c in the

corresponding period of the previous season. Wool exports for the first six months of the present season were 603,500 bales compared to 730,424 bales in the first six months of the previous season. While wool exports were down on the previous season, the total wool sold by auction increased from’ 529,791 bales in 1976 to 561,816 bales in 1977. With the slump hitting prices, the return from the wool auction fell from 5180.9 M in 1976 to $164.6X1 1977. The price slump continued into January with the corporation bidding on 51 per cent of the offering at one sale.

Department of Statistics figures for the six months ended December show that wool exports to European countries were down on the previous season by nearly 50 per cent in some cases. Wool exports to Belgium fell from 30.393 bales to 15,470 bales while exports to West Germany fell from 72,119 bales to 56,122 and to the Netherlands from 70.980 bales to 50.509 bales. Exports to Poland, Italy, France, Britain, and Yugoslavia were also down on 1976. The fall in sales to Britain. New Zealand’s biggest wool customer, fell only slightly from 121,331 bales to 118,139 bales.