H. Dawson Wool has launched an initiative to supply ultra-fine merino wool from New Zealand to a Japanese apparel company.

As part of the H. Dawson NZ ‘Merino Initiatives’ programme, the company has used its reputation, expertise and its close relationships with suppliers of the finest wool in the world to broker the deal with leading Japanese clothing producer, Konaka Co Ltd.

By matching the wool grower to the client, H. Dawson has created an opportunity for 15 micron merino wool to be recognised as a luxury, ultra-fine fibre which can compete with cashmere in terms of quality, softness, finish and durability.

Following the initiative, the wool, sourced from Otago’s Closeburn Station in New Zealand will replace premium fibre cashmere in a new winter range being designed by Konaka Co Ltd. The deal was brokered by H. Dawson NZ’s Senior Trader, Craig Smith.

Mr Smith said:“Matching handpicked growers to specific overseas clients is proving attractive to all involved. For the client, the benefits are two-fold; telling the origin-of-wool story as well as the quality-of-fibre story. The grower is being rewarded for developing farming practices that often take years of investment to perfect. Realising the return on that investment is exciting.”

The fineness of the merino wool achieved by grower, Tony Clarke from Closeburn Station, over a 13–year-long breeding programme, was a major factor in clinching the deal. Konaka believes that the 15 micron 100 per cent merino wool from New Zealand offers greater softness, bulk and durability.

A delegation from Konaka made a flying visit to New Zealand in April where they joined

H. Dawson on a tour of the growing station, an inspection of the flock and to personally record the deal with the grower.

Konaka-san, CEO and owner of Konaka Co Ltd, said: “Our customers want to know the story behind the fibre in their fabric, from the grassroots to the garment so seeing where the wool comes from is a major part of our story.

“Konaka has trialled the Closeburn 15 micron wool with positive results. The corporate garment market in Japan is highly competitive and Konaka believes that using 100 per cent 15 micron wool from New Zealand offers them the opportunity to present something new to the market.”

“The quality of fibre that grower Tony Clarke has achieved with his wool is impressive. In many ways it’s equivalent to cashmere and in some ways it’s superior,” said Mr Konaka.

Mr Smith added that, “deals such as this offers a win-win for everyone. We specifically seek to build long-term partnerships that are financially beneficial to growers and buyers both now and for years to come. What’s critical to success is that deals are built on trust and transparency and that the focus is on achieving the best outcome for all.

“In this case, Closeburn is getting around double the current price of the clean weight per kilogram for their product. For Konaka, it gets the assurance of the quality it is after.”

The visit by Konaka was filmed and will be used as part of a national Japanese television advertising campaign. The campaign will focus on the origin of the fibre in the fabric – something that is seen as a strong selling point.

During their visit the Konaka executives also inspected samples of other wools for their general suiting range and will continue to work closely with H. Dawson to ensure more perfect matches in the future.

Source: H Dawson Wool.

Domestically China’s wool industry has also suffered the after-effects of rising inflation and high labour costs. Government attempts to cool the economy following a prolonged housing boom have included tighter credit controls, which have helped to avoid a hard landing.

Buying just enough to keep machinery running or buying only when the manufacturer has orders is becoming more evident.

With domestic Chinese spending slowing down, manufacturers are buying hand-to-mouth, and not rushing to place large forward orders. The expectation that the Chinese government will intervene to stimulate domestic growth has been increasing as inflation fears subside.

The domestic market in China mostly consumes wool from 19.5 – 20.5 microns. And in any case this particular range has been in reasonable demand. But wools of 18.5 microns and finer that has been processed in China for the export markets in Europe has seen the biggest drop in demand.

There is a line of optimism that the US consumer will start to spend again. But as far as USA consumers are concerned, they are much more interested in cotton rather than woollen products. The most demand for high quality woollen garments comes from Europe.

Nevertheless, an AWI report published last month indicates that retail sales in the USA lifted. The US is by far our biggest clothing market with an estimated market value of US$314 billion, which is more than twice the size of our second largest market, China. According to the report, this critical market for apparel wool was the central stage for the Global Financial Crisis which unfolded in 2008/09. Its impact is still being felt in the US economy.

The most recent trade data gives some reasons for cautious optimism that the economy is on the upswing, certainly compared to six months ago. Figures released on the 13th of March showed sales trended upwards in February, sales were lifted by special events across the three day Presidents Day weekend and Valentine’s day. An even bigger impact is the improving economy, with a survey earlier in the week suggesting US consumers were in the most upbeat mood for a year in February 2012.

National Retail Federation pointed to 20 consecutive months of sustained year on year retail growth in February. Retail industry sales increased 0.5% seasonally adjusted. Also import cargo volumes in major US retailer container ports are expected to increase 10% in March.

Retailers are still watching all the economic indicators very carefully, but there are enough signs of improvements in the labour market and the overall economy. Retailers only import more if they expect to sell more, so these numbers are a sign that optimism is growing, although the impact of rising fuel prices will have on the economy’s momentum remains unclear, the AWI report says.

Leading economists predict that both European and US markets will continue to improve gradually, and with additional demand from emerging economies such as Brazil and India demand for wool should be strong.

The latest market outlook for wool from Rabobank released this week points out that low wool supply, increased demand, changing dynamics in global wool consumption, and high cost of other fibres will continue to deliver above average wool prices. (see following story in www.woolnews.net)

Although Australian wool prices have moved lower in the past several weeks some leading wool exporters in Australia also believe that the market is moving towards a period of tight supply, and expect that prices will remain stable.

According to the report’s author, Rabobank analyst Airlie Hoskins, this is due to low wool supplies, increased demand, changing dynamics in global wool consumption and improved price competitiveness with other fibres.

The report points out that the demand for wool had softened in the 2011-12 season due to the fragile economic environment in many wool-consuming countries. The high Australian dollar has also impacted on farmer income.

The report forecasted Australian wool exports exceeded total production levels by 15,000 tonnes last season, as on- and off-farm raw wool stocks were liquidated to take advantage of the record prices.

Rabobank said long-term production recovery for wool was likely to be challenged by competing demand from other farm enterprises and that a sustained period of elevated profitability will be required to sway Australian and New Zealand farmers to return to the fold.

The promise of emerging markets may deliver that opportunity, provided the necessary investment in innovation and marketing is made to secure it says Ms Hoskins.

The report further suggests that China, the number one market for Australian wool, buying 73% of the exportable clip in 2010-11, is tipped to provide long-term momentum to global wool demand. Chinese processors are not buying as aggressively in 2011-12, wary of building inventories in the current macroeconomic environment, yet orders are still relatively strong as their domestic markets gathers momentum. China has an estimated capacity to process more than 400,000t (clean) of wool each year.

Foreign brands are making in-roads into the lucartive domestic Chinese market as domestic companies grow and evolve, especially as the government encourages greater investment.

Another emerging wool market is Russia. Its economic progress in the Eurozone will be a key trigger to restoring buyer confidence along the global supply chain. The Japanese economy is not expected to grow strongly this year, but recent momentum may lead to stronger consumption.

Industry reports also suggest that some manufacturers in both Europe and Asia are increasingly reluctant to place forward orders or rebuild stocks along the pipeline in the current environment.

Rabobank put down wool price volatility to an increase in “hand-to-mouth” buying and a change in wool micron in demand because of the need to constrain input costs.

2011 saw many farmers begin to rebuild their sheep flocks to capitalise on an improved market and Ms Hoskins predicts Australia’s supply response will gain momentum beyond the 2011/12 season at a measured pace, with elevated prices and more favourable seasonal conditions allowing producers to renew flock rebuilding efforts.

Source: Rabobank

buyers competing for the mohair on offer, resulting in above average prices for quality lots.

The slight depreciation in the South African currency also gave some support to the market.

The adult market surprised today with excellent demand signalling a recovery in this sector of the market. Young goats continued its upward trend this season, with improved demand for fine kids as well.

The overall market indicator gained 4% to close on R94.98 per kg, with an overall sales clearance of 98%.

A highest price of R275.00 per kg was paid for a bale of super sty le 23 micron summer kid mohair.

Compared to the previous sale prices were as follows:

Kids (summer) up 4.4%

Young goats (summer) up 3.7%

Fine adults up 9.6%

Strong adults up 10.3%

Average up 4%

The next auction is schedule for 15 May 2012.

Source: Mohair SA

Long, well prepared fleece wools were in keen demand and fetched good prices, with some types closing at higher levels than last week. A fairly large percentage of the offering comprised short wool, for which there was limited demand.

The rand, at R7,72, had gained 0,7% against the US dollar compared with the average rate at the previous sale, while it was a marginal 0,1% down against the euro at R10,19.

This offering comprised 6 796 bales of which 97% was cleared. Major buyers were Standard Wool SA (1 036 bales), Modiano SA (1 573 bales) and Lempriere SA (1 351 bales).

The average clean prices for the different categories good top-making (MF5), long fleeces were as follows: 18 microns were a marginal 0,1% down at R114,10/kg, 18,5 microns gained 0,6% to R113,83/kg, 19 microns were 2,4% dearer at R113,79/kg, 19,5 microns were up 0,2% to R108,80/kg, 20 microns rose 1,7% to close at R107,03/kg, 20,5 microns were up 0,2% at R105,70/kg and 21 microns gained by 0,6% to close at R104,80/kg and 21,5 microns were unchanged at R102,97/kg. There were no quotes for 22 microns.

Next sale on 9 May.

Source: Cape Wools

2011, to amend the labeling requirements of the official Mexican

Standard NOM-004-SCFI 2006 for textiles and apparel – that sets out

the labeling of textile products, garments, accessories and household

linen, and was originally published in the Official Journal of the Mexican

Federation on June 21, 2006. The new requirements became effective

on February 23, 2012.

The amended requirements apply to most textile products where the textile component

exceeds 50% by mass. This includes all items of clothing as well as associated accessories

and household linens. However, certain disposable and household products are excluded

from the labeling requirements. The exceptions include oven gloves, disposable cleaning

cloths, disposable diapers, sanitary towels, cotton buds, baby wipes and materials used for

wrapping and packaging as well as electric blankets, toys manufactured from textile

materials, masks, furniture, watch straps, shields, flags, zips and/or fasteners, buttons and

buckles made from textile materials.

With the new amendment, all references to standard NMX-A-099-INNTEX-2005 have been

replaced by NMX-A-099-INNTEX-2007 (Terminology and classification of textile fibers and

filaments); and NMX-A-240-INNTEX 2004 has been replaced by NMX-A-240-INNTEX-2009

(Textile industry clothing symbols in the care instructions of textile items – specifications).

For more information please contact SGS Testing Services

Piercarlo Zedda who held the position of president for four years has been replaced by Mario Ferrarone.

The vice president is Micaela Fiorina. The executive committee includes Truscelli Francesco, Nigel Thompson, Claudio Lacchio, Pierluigi Mazzia, Mauro De Lorenzi and Luciano Gandini. Guido De Luca is the new financial controller and Wilma Rosso is secretary and administrative officer.

The new executive committee will hold office for two years.

Today Associazione Nazionale Del Commercio Laniero has 35 members and is one of the biggest wool trade organisations in Western Europe.

Source: Associazione Nazionale Del Commercio Laniero

Wool is grown in Hungary by local farmers running merino flocks, usually small herds of between 600 – 1000 head. There are larger farms that operate with some 6,000 head. These sheep are kept in sheds for some three months each year, due to the harsh winters in Hungary. This protects the quality of the wool from weather damage but does not affect the colour which is off white.

Hungarowool operates from two warehouses where wool collected from local farmers is sorted.

‘We export 100% Hungarian fleece’, says Mr Vass. ‘Over the years the quality of our Hungarian merino has been improved by the introduction of Australian merino. Our company guarantees its product’.

For more information about Hungarian Merino Wool please contact János Vass at hungarowool@freemail.hu

The BWHK Team in Bremen has been involved in the development of Organic wool for nearly two decades. We have pioneered the promotion of certified organic tops and E-TEC non-chlorinated anti-shrink treatment and are at the forefront of organic processing in our field.

This is wool which has been processed and or transformed in accordance with the Global Organic Textile Standard (GOTS-Version 2.0 or subsequent). The product must be pure wool as defined by GOTS or by local legislation. All processors in the production chain must be certified by an IFOAM accredited or internationally recognised (according to ISO Guide 65) certifier and must meet the trade waste requirements of the local environmental control authority.

BWHK has been developing and promoting an organic certified wool chain from wool growing, processing, and labelling. Wool processors using this chain will be able to certify their product with one certification that will be accepted by all major markets.

In order for the final product to certify as an organic wool product it is necessary for all processing stages from the sheep’s back to the garment to be adhered to and certified accordingly’, says Mr Behrmann.

For more information about the products and services offered by

Bremer Wollhandelskontor GmbH please email: info@brewoko.de

Additional equipment for sale includes a Condenser (type 44); Bale weigher; Bale ejecting device with bale Doffing dolly.

Located in Perth, Western Australia and Goulburn, New South Wales interested parties can contact contact Lindsay Mitchell to arrange a viewing.

Mr Mitchell, CIL Group, PH: +61 8 9208 2020 E lindsaym@abrasiflex.com.au