Jamie Gray

Jamie Gray is a business reporter for the NZ Herald and APNZ

Sheep shortage pushes wool up

New Zealand's sheep population is down to less than 30 million, so wool's price has risen 15 per cent in a year.
New Zealand's sheep population is down to less than 30 million, so wool's price has risen 15 per cent in a year.

New Zealand wool prices have risen over the last few weeks and have performed strongly over the last year because of a wool shortage, ASB Bank said in the latest issue of its Commodities Weekly.

The bank said wool prices (35 micron) over the past four weeks had been an average 5 per cent higher than in the previous four weeks.

Wool prices were about 15 per cent higher than a year ago.

Driving prices higher has been a shortage of wool.

Early this month, Beef and Lamb NZ estimated that in June, the total number of sheep in New Zealand had fallen to under 30 million. In Australia, wool exports are expected to fall by about 7 per cent over the season ahead.

"With little sign of sheep numbers recovering any time soon, we expect wool prices to remain firm over the season," ASB said.

- APNZ

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