Australian Production

 

January 2012  ABARE* forecast:   Sheep numbers 74.3 million. Wool production 350 million kgs greasy (approx 245 million kgs clean weight).

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Australia is generally considered the most viable source of high quality merino wool and is the largest individual producing country.

There are approximately 29,000 wool farms in Australia.

Wool production is at its lowest level since 1925.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Structure of the sheep flock:

 

The forecast for the 2011/12 season estimated greasy wool at 350 mkg, a 5 million reduction on previous forecast due to reduce cut per head due to wet weather.

Sheep numbers estimated at 74.3 million head an increase of 3.5 million. Approximately 50% of these will be merino.

The breeding population at the end of February 2011 was 38.7 million head of which pure merino type was 53% or 20.5 million.

At the same date it was estimated there were 24.1 million head of lambs of which 58% were merino or 13.9 million.

This indicates that 42% of merino ewes are being joined to meat sheep breeds (terminal sires).

Outlook:

While there may be a small rise due to better season conditions (Australia has been in drought conditions for 8 to 10 years up until 2010) it is unlikely merino production will rise by a significant amount in the near term.

A long period of unsustainable prices for wool has resulted in the dramatic reduction in merino sheep numbers.

The demand and price for sheep meat is at a high level and merino breeding stock is at a very low level, so it is unlikely that the recent hight prices for wool will result in a rapid build up of the merino flock.

The current level of merino wool production is therefore likely to remain static.

 

* Australian Bureau of Agricultural Resource Economics