PRICES declined at this week's wool sale in Port Elizabeth with the Cape Wools Merino indicator shedding 3.5% to close at R111.98 per kg (clean).
Cape Wools SA spokeswoman Lizelle Delport said traders were hesitant and questioned the sustainability of current price levels as well as the strength of renewed consumer demand.
"The stronger rand against the US dollar also played a contributing role.
"The softening in wool prices reflected the global market, as was also experienced in the weakened Australian market," she said.
Prices were down across the board with the stronger wools posting the biggest decreases. A total of 8 541 bales were on offer, of which 97% was sold.
Most active buyers were Standard Wool (2488), Modiano (2425), Lempriere (1510) and Stucken & Co (1169).
The next sale is scheduled for September 18, where approximately 6 000 bales will be on offer.