Jul 7, 2008

Australian Wool Production Set to Experience a Decline in 2008/09

According to the latest updates of the Australian Wool Testing Authority (AWTA) and other reports, the Australian wool production will experience a 4% dive in the 2008/2009 season.

The insuffi
cient rainfall in Eastern Australia and the rising food prices have caused to reduce the sheep population. Therefore,the wool production will see a slight but alarming decline.

The situation c
ould have become worse, had the production of wool not surged moderately in New South Wales and Queensland.

The southern region, the state of Tasmania, Victoria and South Ausaustralian sheep lamb wool industrytralia have entered the new wool season with a below normal autumn rainfall. This has led to an increased sheep slaughtering and exports.

The heightening global food prices have compelled the farmers in Western Australia to go for harvesting extra winter crop.That's why, they have abandoned sheep grazing temporarily.

The production forecast in the fresh season is 385 mkg greasy as compared to 400 mkg greasy in 2007/2008 season. After a detailed survey, a statewise wool production forecast has been issued.

However, the fresh low is just an another chapter in the history of continuously deteriorating Australian wool production.The production has experienced a regular fall in the period of last five years or more.

The following record issued by Australian Wool Innovation Limited will clarify the “falling trend” in the wool production further.

But as a matter of content, the global woolmarket will notice a marginal growth worldwide, according to IMF latest updates. Though it predicts a global slowdown in the world economy, it sees no pitfalls in the wool market and its consumption in the global apparel industry.

The balance will be provided by India and China-the two major exporters of wool apparel to the west. Also they are the biggest buyers of Australian greasy wool.

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