Associated Wool Exporters buyer Scott Carmody says, “Despite the fall, these prices are still in the top 10-15pc of prices over the last two to three years.

“So I am a little surprised growers are hanging onto these wools right now, especially as a fair amount of this wool (for sale) is two to three seasons old, and drought wool.”

With 51,000 bales on offer this week, a similar percentage is expected to be passed in across the three main selling centres.

Mr Carmody says a combination of factors dragged the market lower:

• A drop in demand,

• Lower quality wools,

• The global economic slowdown and

• Negativity surrounding mulesing, to a certain degree.

“Mind you, the better quality wools are doing a lot better than the market quotes suggest,” he says,

“Good 18 micron wools are fetching a 100 to 150c/kg premium above the market right now.”

While the $A has been trading at close to US95c in recent days, Mr Carmody said most buyers had factored it in for some time.

This week, the exchange rate has eased a little, to nearer US93c.

“We simply need more demand from China. They are again at hand to mouth buying,” he says.

“India and Korea have largely been out of the market for the last month.”