Despite reduced demand for cross-bred wool in China and the uncertainty in the market following Brexit, British wool values have remained stable throughout the 2017/18 season and look set to improve slightly.

While the global market has proved challenging, British wool prices have improved in recent months to level at £1.00 per kg, due to improved marketing and promotion, according to the British Wool Board’s sales manager Stephen Spence. 

Furthermore, clearance rates have also been good at all sales with the result that just 600,000kg remains from last year’s clip which is roughly half the amount normally sold at each of the 18-19 wool sales staged throughout the year in Bradford.

Prices were all up at the last sale on May 8, where the British Wool index improved 3% sale on sale with some 1.201m kg forward of which 1.168m kg sold to give a 97.2% clearance. 

Average clean and greasy prices levelled at 151.6p and 101.8p, respectively, with all types slightly dearer and carpet-type wool selling particularly well compared to the last sale in April.

It’s not just about ex-farm prices though according to British Wool chairman, Trevor Richards, who said the board had focused on two key deliverables over the past year – the price returned to producers for their wool and the levels of service delivered.

“There’s clear evidence the market sees the value of British wool, backed up by strong demand from buyers and good clearance rates at auction,” he said. 

“If we look back 12 months ago, prices for British wool were 20% lower than New Zealand wool. Recent months have seen that gap close, with a premium being paid for some British types, due to its strong reputation for producing good carpet wool. 

The Scottish Farmer:

“It’s also worth remembering that British Wool always pays more than the competition (anything from 6-76% more, see table above) buying wool direct from farmers – that’s because we are a producer organisation, standing up for producers best interests. 

“The more producers who market their wool through British Wool sees better returns for every producer, which is why we’ve recently launched initiatives like our new entrants scheme, which provides early cash flow support to farmers who are new to wool production.”

Joe Farren, chief executive of the board, said: “Joining British Wool means long-term support for sheep farmers. It’s important we think about the future, and implement a strategy to secure long term success. 
“This is where British Wool comes into its own – we have a strategic role to play in assessing and developing new market opportunities, and increasing consumer demand for British wool. Initiatives like this will deliver greater rewards across the long-term, securing the future of the wool industry.”

The Scottish Farmer:

Clip values for the 2018 season show similar prices to last year with slight price rises for Texel, Mule and Blackface wool, which have increased by 3p, 7p and 3p, respectively, on the year. 
Overall, prices are expected to improve from 60p per kg to 64p for the 2018 clip (see table above).