Bad news catches up with mohair

The first sale of the mohair winter selling season mirrored all the negative events of the past two months, said Matthew Fox, Cape Mohair and Wool’s mohair manager.

“The boycott action from China against wool and mohair, caused by the quarantine period of a year against Rift Valley fever, effectively took one buyer out of the market,” he said.

But Fox said while the price of adult hair is under pressure, due to lack of demand from the East and Europe, it’s still selling better than the previous winter season.

Mohair South Africa (MSA) cautioned farmers not to use the first winter sale as a barometer for the rest of the season. MSA said while greasy adult mohair exporters to China were absent from the sale, the fall in adult prices should be seen as a correction in the market and the current uncertainty. News from the Far East suggests the adult market may stabilise later in the season.

The slower demand for adults resulted in brokers keeping back some volumes of adult hair, bringing the total sales clearance of the 130 991kg on offer to 70,5%.

Compared to the corresponding sale of 2009, winter kids rose by 12% and winter young goats rose by 40%. The average market indicator was 17% higher than the corresponding sale of 2009.

CMW’s sale analysis: the price of winter kid mohair rose by 15,2% with a market indicator of R142,01/kg; young goat hair was unchanged with a market indicator of R96,31/kg and a sale clearance of 97,8%; adult mohair fell by 12% with a market indicator of R75,73/kg and a sale clearance of 67%.