Australian wool farmers warned

Press, 29 January 1988, Page 12

Australian wool farmers warned

NZPA-AAP Canberra Wool industry leaders have cautioned Australia’s producers not to become complacent as the Australian wool industry heads into another boom year. Delegates to the national Agricultural Outlook Conference in Canberra were told Australia’s hold on the world wool market was not without its dangers. With a limited supply of wool on the world market, the high prices could encourage the entry of other suppliers, specifically Argentina. Higher wool prices could lead to the substitu-

tion by textile manufacturers of alternative cheaper fibres to wool. Australia’s rural sector could become too dependent on wool, devoting more land to sheep, increasing wool supplies and threatening the current favourable price Such a move would make Australian farmers more vulnerable to any sudden downturn int he wool market. The Australian • Wool Corporation’s chief, Mr David Asimus, told the conference Australia should concentrate more on wool processing and adding value to wool