WOLMARKVERSLAG / WOOL MARKET REPORT CV03_2020

MARKANALISE

In Port Elizabeth het die 3de veiling van die 2019/20 wolseisoen hierdie week plaasgevind en die Cape Wools alle wol aanwyser het met 5.3% en 871 punte hoër verhandel en teen 'n skoonprys van R172.31/kg gesluit. Die Australiese EMI het ooreenstemmend met 4.8% gestyg. Die Rand het hierdie week 2.7% swakker verhandel teen die VSA Dollar ten tyde van die veiling en 2.2% swakker teen die Euro, ooreenstemmend dieselfde tyd van die vorige veiling. Super fyn wol was onder druk en het papper vertoon, terwyl die langer en sterker mikron tipes gesonde kompetisie ervaar het, met die grootste styging van 7.4% in die 19.5 mikron segment. Daar was gesonde mededinging onder die kopers, terwyl die effense verswakking van die Rand ook 'n positiewe invloed op die SA mark gehad het. Modiano het hierdie week die grootste hoeveelheid bale gekoop, gevolg deur Standard Wool, Lempriere SA en Stucken. Daar is in totaal 11 390 bale aangebied, waarvan 92.8% verkoop is. Op die OVK veiling is 2,712 bale aangebied, waarvan 92.5% verkoop is. Die hoogste prys op die OVK veiling, van R144.00/kg, is behaal vir 'n 1 baal lot BM van 17.5 mikron, uit die skeersel van DN van Zyl uit die Victoria-Wes distrik. Die koper was Modiano. Baie geluk met die prestasie!

VOORUITSIGTE

Hierdie week het die SA wolmark weereens die styging in die Australiese mark nagevolg en hoër verhandel. Die redes vir die styging in die wolmark kan toegeskryf word aan die goeie vraag na goeie kwaliteit wol, wat ook die geval was in Australië, sowel as die verswakking van die Rand teenoor die vernaamste geldeenhede. Verskeping van wol na China, na die voorwaardelike opheffing van die verbod op invoere vanaf China, weens die bek-en klouseeruitbraak vroeër vanjaar, vorder steeds fluks en wol wat aan die temperatuurvereistes voldoen, soos gestel deur die OIE, word geredelik verskeep. Op die afgelope Nanjing wolkonferensie in China, het rolspelers in die industrie egter voorspel dat volataliteit in die wolmark op die kort tot medium termyn kan voortduur, as gevolg van die voorslepende handelsoorlog tussen China en die VSA, asook die BREXIT kwessie in die VK, wat 'n negatiewe invloed op die Europese ekonomie tot gevolg kan hê. Tydens die konferensie is daar ook groot klem gelê op volhoubaarheid en naspeurbaarheid en produsente moet daarop let dat dit al hoe belangriker word om aan neergelegde standaarde, soos “Responsible Wool Standards” te voldoen, ten einde die toekoms van mededinging in die internasionale omgewing te verseker. OVK is verbind daartoe om ons kliënte by te staan in die verkryging van sodanige sertifisering. Produsente moet steeds verseker dat kuddes inge-ent is teen siektes soos slenkdalkoors. Indien goeie lentereëns gaan voorkom in gebiede waar vorige uitbrake was nie, kan die geskiedenis hom herhaal, met katastrofiese ekonomiese gevolge vir die industrie. Die volgende wolveiling is geskeduleer vir 2 Oktober 2019, waar sowat 5,847 bale aangebied sal word. Hierdie verslag deur Heinrich Victor, Bestuurder: Veselbedryf - OVK

MARKET ANALYSES

In Port Elizabeth the 3rd wool auction of the 2019/20 season took place and the Cape Wools all wool indicator traded higher with 5.3% and 871 points and closed at a clean price of R172.31/kg. The Australian EMI increased with 4.8% accordingly this week. The Rand traded 2.7% weaker against the US Dollar this week and 2.2% weaker against the Euro, compared to the previous sale. The very fine wools were under pressure and did not perform that good, while the longer and stronger types attracted healthy competition, with the biggest increase of 7.4% in the 19.5 micron segment. There was healthy competition amongst buyers, while the slight weakening of the Rand also had a positive influence on the SA market. Modiano was the major buyer on the auction this week, followed by Standard Wool, Lempriere SA and Stucken. A total of 11,390 bales were on offer, of which 92.8% was sold. On the OVK auction 2,712 bales were offered of which 92.5% was sold. The highest price on the OVK auction, of R144.00/kg was for a 1 bale lot BM of 17.5 micron, from the clip of DN van Zyl from the Victoria West district. The buyer was Modiano. Congratulations with the achievement!

FORECAST

 This week the SA market followed the incline in the Australian market and traded higher. The reasons for the increase in the wool market can be attributed to the demand for good quality wool, which was also the case in Australia, as well as the weakening of the Rand against major currencies. Shipping of wool to China, after the conditional upliftment of the ban of imports from China, due to the outbreak of Foot and Mouth disease earlier this year, is in progress and wool, meeting the temperature requirements, set by the OIE, is shipped at an ongoing rate. During the recent Nanjing Wool Conference in China, role players in the industry predicted that volatility in the wool market may proceed in the short and medium terms, due to the ongoing trade war between China and the USA, as well as the BREXIT situation in the UK, which may have a negative impact on the European economy. During the conference strong emphasis was placed on sustainability and producers will have to see the importance and meet standards, such as Responsible Wool Standards, in order to ensure future competition in the international environment. OVK is committed to assist our clients in the obtaining of such certification. Producers must still ensure that flocks are vaccinated against diseases such as Rift Valley Fever. If good rains will fall during early summer in areas where previous outbreaks occurred, history could repeat itself, resulting in catastrophic economical results for the industry. The next wool auction is scheduled for 2 October 2019, where approximately 5,847 bales will be on offer. This report by Heinrich Victor, Manager : Fibre Operations - OVK.