Wooly Costs Add To Price Of Lamb

(ref Monday June 25th blog)


Why is lamb so expensive? our Innocent customers sometimes ask. Well during the summer holidays I have received the wool cheque for £272.78. As you can see from the prior blog, shearing has cost us much more than this.


The British Wool Marketing Board, whom are the only organisation which we are allowed to sell our wool to, who set the price after they have received it! (Not called a monopoly??????), had a shake up last year so that they could market the wool and obtain better prices. (This policy has yet to produce results) It is important to remember that Britain only produces 1% of the total world wool output.(source sheep information sheep http://www.vegsoc.org/)

The accompanying flyer states:

2007 Wool Cheque: why is it low?

Why the 2006 auction prices were poor

• An outbreak of anthrax in Wales meant that greasy wool exports to China were banned, as no Export Health Certification was allowable.


• Deliveries to China only started again in January 2007


• Weakness of the US$ against £ makes exports very expensive and uncompetitive. Over 70% of British Wool is exported.


• Comparative New Zealand Wool sold into Europe at 10% lower price.

How it affects Producers

• Because of the fall in price, the Boards Advance payment in 2006 was far too high - over 85% of the final value


• the board had to borrow funds to pay producers


• the 2007 advance payment is set at a considerably lower level, although the Balance Payment next year will be very much higher

Prospects

• The Board starts the 2007 season in it's best ever position, with no stock and, therefore, prices should improve.


• The Board is working with other wool producer organisations and the textile industry to increase promotion of wool to improve demand and achieve better prices.


• The Board is continually reducing costs, but a 10% reduction in the clip this year meant the p/kg cost is higher.


• the board continues to invest in shearing training - over 5000 put through courses in the last 4 years.

Remember

• By a combination of external factors, this years situation is poor, but with your support the Board will continue to offer an efficient and professional service, year after year.


• The Board is your organisation, working for the benefit of all producers.

The British Wool Marketing Board can be viewed at http://www.britishwool.org.uk/ and it states:

The BWMB is a farmer run organisation, the BWMB was established in 1950 to operate a central marketing system for UK fleece wool, with the aim of achieving the best possible net return for producers. It is the only organisation in the world that collects, grades, sells and promotes fleece wool and the only remaining agricultural commodity board in the UK. Receiving no financial support, although operating commercially, the BWMB is a non-profit making organisation, returning to producers the market price for their wool, less its own costs. Its objectives are to:-
Provide a secure market outlook for producers.
Stimulate demand by technical research, product development and promotion.
Improve the quality of the clip.
Provide an efficient marketing service from collection to auction.

Wool is one of our most natural fibres, used for 1000's of years to clothe and keep dwellings warm. It has been used in the alternative centre for technology as a natural insulator in buildings.

I was involved in a conversation on the Farmers Market in Merthry Tydfil whilst discussing the price of wool and how much it costs us to shear, and discussing the pros and cons of the new bred of sheep which are evolving which do not require shearing. The general comment was that clothes are so cheap now days, that people tend to go for a cheap item, which, when damaged, just gets thrown away (our throw away society) and not mended.,Whereas a wool cardigan will last for years, is better suited to our skin as a natural fibre, but is more expensive.

Although I know it is not possible for society to revert to the 'good old days' however I do question whether the majority of people think the evolution of modern day society has been to the greater good of everyone

I was amazed to see, when I looked at the BWMB site that there is not one woman on the committee. Perhaps a female pint of view may shed a little more light on marketing, the fashion world, the environmental benefits of using more wool in this country instead of shipping to china