Fine crossbred up 10 p.c. in Christchurch sale

Press, 17 April 1982, Page 23

Fine crossbred up 10 p.c. in Christchurch sale

Strongly improving market prices were maintained to the end of the . long, fourcatalogue, 25,700-baJe Christchurch wool sale yesterday. Fine crossbred fleece finished 10 per cent dearer than at the combined Auck-land-Wanganui sale on April 2.

Crossbred oddments were also quoted by the Wool Board at 7.5 to 10 per cent dearer- than at Auckland by the end of the Christchurch sale.

The big South Island lateseason wool sales appear to be going to‘maintain their reputation of providing better quality crossbred wools and prices than those in the North Island.

Fears among brokers yesterday that the prices would weaken towards the end of the four-catalogue sale were not realised and the quotation for fine crossbred wool actually improved from 5 per cent up on Auckland to nearly 10 per cent up on the strength of prices paid for lotq of this description in the fourth catalogue.

Medium crossbred fleece wool finished fully 5 per cent dearer than at Auckland, strong crossbred about 5 per cent dearer, oddments 7.5 to 10 per cent dearer, lambs 2.5 to 5 per cent dearer and skirtings in sellers’ favour.

But it must be remembered that prices at the Auckland sale were the lowest of the 1981-82 season so far and that an over-all improvement of 7 per cent in the market indicator from 243 c to 260 c a kilogram only takes that pointer back to about its level in mid-Febru-ary.

As a measure of the quite large swings in fortune in New Zealand'wool sales this season, the market indicator was 272 c at the last Christchurch sale on March 5. It had thus dropped nearly 30c a kilogram by the time of the Auckland sale only one month later.

Yesterday’s adjusted weighted average sale price (A.W.A.S.P.) was 262.2 c, compared with 257.5 c at Auckland and 272.12 c at Christchurch on March 5. An examination of actual prices- for good strong crossbred fleece shows that in Christchurch in March these were selling at 294 to 306 c, at Auckland in early-April at 275 to 290 c, and yesterday in Christchurch 313 to 319 c. This highlights the premium South Island crossbred fleece wools attract and suggests that the strong improvement in yesterday’s Christchurch sale may not be sustained at Wellington on April 30. Sources in the trade said yesterday that apart from the expected stronger tone in South Island crossbred fleece wools towards the end of a selling season, yesterday’s good results might be attributed to buyers finishing up orders.

Such strength in coarse wools as was evident yesterday compared with Auckland before Easter does not result from any change in the world economic tone in the interval, according to the sources.

One broker even commented that’ the strong prices were a result of “home-grown demand” or order-book and shipping space factors rather than a strengthening of the world demand for coarse wool.

A feature of yesterday's sale was the strong -demand for crossbred lambs’ wool, where top prices were well

above'the best prices for fine lambs’ wool. This resulted from the better length in crossbred lambs’ wool, tending almost to- fleece wool length, which, along with its lambs’ wool fineness, makes it a better manufacturing proposition than Halfbred and Corriedale lambs' wool. On the first three catalogues the Wool Board bid on 5 per cent of the offering and bought or had passed it toone per cent. Although prices for crossbred fleece wool continued to improve in the fourth, and longest, catalogue the Wool Board was required to be more active. That brought its over-air activity on the day to 8 per cent in bidding and 2.6 per cent bought or passed to it.

The A.W.A.S.P. of 262.2 c a kilogram resulted in a Government supplementary payment of 21.9 per cent on all wool sold at the sale and all wool sold privately from midnight on April 15 to midnight on April 21. The Government supplement is tending back towards the season’s high point of 25 per cent for an extended period during January.

The supplementary payments system has maintained the bulk of prices to growers of New Zealand’s predominant coarse wools and ironed' out two clearly defined troughs in auction sale prices, over Christmas and New Year and over Easter. There have also been two clearly defined peaks in prices during the 1981-82 season, over the first quarter and during March,

But at no time has the auction market looked likely to wipe out the necessity for the Government to pay substantial amounts of supplementary payments on the whole clip. This, and the evident fluctuations during the season, must give the Government and the Wool Board much food for thought during this national Budget setting period. As at Christchurch yesterday. demand from overseas buyers has been steady during the last three months after a bleak period during December and January when the board was adding to its substantial stockpile by large percentages of each sale offering. The demand recently has been within the range that the overseas wool importing nations are prepared to pay in a general world economic recession.

The Wool Board said yesterday that competition was widespread for all descriptions, Eastern Europe and Japan being the main buyers. Quotations yesterday for fine fleece wools were; Merino, firm; medium Halfbred, buyers’ favour; extra strong and strong Halfbred 2.5 to 7.5 per cent dearer, and skirtings and lambs’ wool firm. These, quotations were on prices compared with the fine-wool section of the Dunedin sale on March 26. As well as the Government supplement, the Wool Board was required to support 31.6 per cent of yesterday's offering by an average of 12.5 c a kilogram. The top price for the sale was 512 c. for a bin lot of three bales of super fine Merino from Dalgety New Zealand, Ltd. Two bales of super extra fine Merino wool from the Ramshead Run Company (Blenheim) and a

star lot of one bale from R. J. Brown (Glenthorne) sold for 485 c. Five bales of Merino necks from Mt Potts station (Mt Somers) made 474 c.

Halfbred sold to 396 c for a bin lot of five bales of fine wool from Pyne, Gould, Guinness, Ltd. O. F. Baigent (Wakefield) sold five bales of fine woolly hogget fleece for 376 c, four bales of woollyhogget wool from the bins of Dalgety’s made 375 c. and four bales of fine shorn hogget from the bins of Wrighlson N.M.A., Ltd, sold for 359 c.

Seven bales of fine wool from Wrightsons made 351 c, and three lots received 350 c — Altimarlach Station (Blenheim) for seven bales of shorn hogget and D. P. Graham (St Arnaud) for four bales of shorn hogget and 38 bales of ewe fleece.

H. L. Pickering (Greta Valley) sold 14 bales of fine Corriedale wool for 376 c and seven bales of two-tooth Corriedale wool for 372 c. O. M. Brooker (Rangiora) received 356 c for six bales of fine ewe fleece and 346 c for four bales of medium.

Ravelstone Properties, Ltd (Kirwee) sold four bales of fine Corriedale for 351 c and C. W. and N. C. Stott (Darfield) received 350 c for five bales of shorn hogget.

An undisclosed vendor received 341 c for six bales of fine shorn crossbred hogget wool and"32scfor eight bales of shorn hogget. Rowley vale Farm. Ltd (Amberley) sold 20 bales of fine crossbred at 338 c and nine bales at 334 c.

A price of 324 c was received by D. J. Innes (Banks Peninsula) for seven bales of shorn Romney hog-

get. and . H.A.M. Lublow (Motueka) sold 19 bales of crossbred ewe fleece for 322 c. The Estate of F. E. Hobson (Nelson) received 320 c for six bales of shorn crossbred hogget.

Burnt Hill Farm (Oxford) had a successful sale, receiving 317 c for 15 bales . of strong Coopworth, 311 c for 16 bales of medium wool, and 307 c for 13 bales of ewe fleece. .M. J. McKellow (Hororata) sold 13 bales of Coopworth for 305 c.

Perendale sold to 311 c for six bales of shorn hogget from J. W. Thompson (Murchison). Thirteen bales of fine Perendale from the bins of Pyne’s sold for 310 c, and four bales of two-tooth wool from H. C. and E. M. Morris (Ashburton) made 308 c. From the bins of Pyne’s, five bales of Southdown cross sold for 358 c. Eleven bales’ of Down cross from the bins of New Zealand Farmers made 358 c, and four bales of Down cross from W. S. Keene (Ashburton) sold for 340 c. Eight bales of fine Down cross from the Wrightson bins sold for 350 c Seven bales of South Suffolk from J. R. Croy (Rangiora) sold for 337 c and'five bales of Suffolk from Wrightson’s bins made 361 c. F. W. and R. C. Newton (Ashburton) received 315 c for 10 bales of fine Borderdale, and a bin lot from Wrightson’s of 22 bales of medium Borderdale made 295 c. Several bin lots of threequarterbred wool sold to 305 c.

A various lot from Dalgety’s of 15 bales of Halfbred lamb’s wool received 319 c, and nine bales of fine Half-

bred lambs’ wool from the bins of the same vendor sold for 312 c.

A price of 314 c was received for 20 bales of fine Halfbred lambs’ wool from the bins of Pyne's and 20 bales of medium wool was sold for 310 c. P. S. and J. W. Roberts (Hawarden) sold 14 bales of Corriedale lambs’ wool for 310 c. Fifteen bales of Perendale lambs’ wool from a combined lot from Wrightson N.M.A. sold for 336 c and 15 bales of Perendale lambs’ wool from the bins of Pyne’s received 328 c.

A bin lot of 13 bales of fine crossbred lambs’ wool from • Pyne’s sold for 319 c, 13 bales of Crossbred lambs’ wool from R. E. Oakley (Glenroy) made 321 c, and 14, bales of crossbred lambs’ wool from G. R. Hunt (Ashburton) received 318 c.

Crossbred second-shear wool sold to 328 c for five, bales from P. J. Holmes (Methven). Four bales of Coopworth second-shear from I. D. and C. E. Gradley (Rangiora)'made 310 c and 13 bales of Perendale secondshear from J. J. R. Chambers (Waiau) sold for 315 c. N. H. Ensor (Duvauchelle) sold six bales of Corriedale second-shear for 308 c and a various lot of 13 bales of Crossbred from Dalgety’s made 306 c.

The order of catalogue was Pvne, Gould, Guinness, Ltd, 589 lots. 6579 bales; Wrightson N.M.A.. Ltd. 639 lots. 7571 bales; N.Z. Farmers Co-op Association, 327 lots, 3635 bales, and Dalgety New Zealand. Ltd, 668 . lots, 7923 bales. The total was 2223 lots and 25.708 bales.