Slight rise predicted for 2015 wool clip value

Sheep farmers should receive slightly higher payments for their wool this year, with strong global demand set to support domestic and foreign markets.

With the shearing season now underway in parts of the country, producers should receive an average of around 2p/kg more than last year, according to the British Wool Marketing Board’s (BWMB) 2015 forecast.

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It predicts that those sending Suffolk fleeces will receive a total £1.13/kg, compared to £1.11/kg in 2014, with Romneys set to rise from £1.27/kg to £1.30/kg, Cheviots from £1.30/kg to £1.35/kg, and Swaledales from 60p to 62p/kg.

Although actual prices received last year generally fell short of the 2014 forecast, BWMB chief executive officer Ian Hartley told a meeting in Exeter this week that he was confident that values this season would remain buoyant.

“Last year was one of very challenging market conditions with the ever-changing currency fluctuations, coupled with the much reported slowdown in economic activity in our major export market, China,” he said.

“This year’s prediction is based on the past three auctions, which have been very good – today’s (12 May) average sale price was up by 3%. Given that we will have a minimal carryover and no increase in global supply, alongside the positive impact the international Campaign for Wool is having, and the generally stable markets, I think the 2015 forecast is a conservative estimate.”

The BWMB markets about 95% of Britain’s wool clip – last year it sold around 29.2m kg, worth £45m to the industry.  About 35% of sales were to China, with the UK accounting for around 30% of the market. “Given the mild winter and spring fleece yields should again be good this year,” said South West board member Brian Dallyn.

The BWMB holds auctions throughout the season, starting in July. Producers receive an average pool price for the breed and grade of wool produced at the end of the marketing year. 

 *Wool prices – average clip value £/kg