“Covid-19 has brought the industry closer together as we navigate through these new times.
“From an industry perspective it’s been right to shut down auctions when we did and work as an industry to be responsible when we open up again,” Edwards said.
“Getting back up and running with wool auctions has required strategic and responsible thinking and everyone has come together to ensure we get this right for the industry, from the growers to the exporters to the market,” Edwards said.
The challenges associated with exporting and overseas customers have meant prudently structuring the right plan.
Brokers have been working with overseas markets and keeping closely aligned with worldwide activity in terms of volume and demand.
“We have all been really focused on what’s the best time to kick auction sales off again.
“With Europe and India still shut down and China restricted to a degree it has meant we need to fully understand global market demand as we get the timing right here.
“But we do need to get wool back in the pipeline to meet contractual arrangements already in place pre-covid.”
Growers’ and businesses’ cashflows have also been a big factor among the challenges carefully considered in the timing of the restart.
“For the short term in terms of volume and demand we need to align with the market forces and be prudent about how we manage that.”
The first auction on May 21 at Napier will offer 7000 bales with a South Island auction on May 28 also aiming for just 7000 bales.
While there is an element of nervousness it is a carefully strategised restart, he said.
“We believe we have it right as best we can given all the indicators we have factored in but we will just have to wait now and see what result we get.”
Low volumes have tested the natural fibre exchange in the past couple of weeks, giving only a vague indicator, but prices have decreased for lines that have sold.
In the longer-term the industry is more upbeat.
“The long-term future is looking positive as the world is turning back to natural products and wool stands well in that respect.
“The world and consumers are showing strong demand around traceability and knowing where their products come from.
“Just when that will gain real traction we don’t know just yet but meantime wool has got to be flowing through the supply chain,” Edwards said.
British reports suggest sheep farmers are likely to get less money for wool there this year after the marketing board admitted a slump in demand had left one-third of the 2019 clip unsold.
Disruption to the supply chain linked to the coronavirus pandemic has seen prices plummet this year at the farmer-owned co-operative’s fortnightly online auctions with low clearance rates at normally busy spring sales.
