In the past six months the value of New Zealand’s wool exports has fallen 10 per cent. The wool industry has had a tough season so far. China used to buy 60 per cent of New Zealand’s wool exports but no more. There has been a sharp decline in exports to China for a large part of last year. Also there has been a huge change in the value of the New Zealand dollar against the currencies in which wool is exported. Against the sterling, the New Zealand dollar is 30 per cent stronger than it was for the same time last season.
The value of medium wool exports per ton dropped by over 9.4 per cent. Fine cross bred wool is down 21 per cent and strong wool is down 12.5 per cent. The only rise in value is for fine wool. Fine wool returns are up about two per cent. Wool operations are becoming not really profitable. Overall low prices have made it hard for farmers to get decent prices. The cost of shearing is also hitting farmers.
Wool from New Zealand is cruelty free. Extra care and attention goes into the shearing process to secure the safety and well being of the sheep. The wool is not chemically processed and is sold in its raw, natural state.