Australian Wool Production Forecasting Committee release quarterly update

Producers are favouring sheep that produce value from wool and meat, leaving one breed behind.

Composites could be the casualty of the drop in lamb returns as producers turn back to sheep that produce value from wool and meat.

The latest wool forecasts came out today and pointed to a lift in both sheep numbers and wool production for the current financial year.

The Australian Wool Production Forecasting Committee released its quarterly update and estimated about 328 million kilograms of wool would be cut in 2023-2024, up 1 per cent on the past financial year.

And while the release is all about the numbers, the committee also indicated they believed there was a swing back to traditional first cross production from composites.

“There is also some indication of a move away from composite sheep production to a first cross enterprise to improve the value of wool produced from sheepmeat focused enterprises,” committee chairman Stephen Hill said.

Wool production is expected to rise in NSW but fall in the key sheep states of Victoria and Western Australia.

NSW producers are expected to shear 26.9 million sheep in 2023-2024.

“Favourable seasonal conditions in southern regions of the state expected to compensate for

the relatively poorer season in northern regions,” Mr Hill said.

More broadly, he said wool production would rise nationally this financial year.

“The revised December forecast reflects the larger number of sheep shorn, as lower sheepmeat prices relative to wool have increased the number of held over lambs and retained older breeding ewes,” Mr Hill said.

The dry spring in many wool growing regions has allowed shearing to progress on time, the committee found, with some shearing teams ahead of normal. This compares to last year, where wet weather caused delays that sometimes meant schedules were months late.

Data from the Australian Wool Testing Authority shows fibre diameter is steady at 20.4 microns but there had been a slight fall in staple length of 88.8m, back just 1.7mm from last year.

“The earlier shearing combined with low sheepmeat and cattle prices have increased auction

volumes, with AWEX first hand offering up 8.9 per cent more wool compared to last season and an increase in the volume of prem (premature) shorn wool (up 15 per cent).”