Ulster Wool confirms payments for 2022 wool

Members will be receiving a personalised letter in mid-May confirming the total value of their 2022 wool with core grades achieving 30p/kg and Blackface wool 20p/kg - exact prices will depend on grade and type of wool.

Fleeces from organic flocks attract a premium of 70p/kg for core types.

Andrew Hogley, CEO, Ulster Wool said: “We understand that prices will be disappointing to our members, particularly on the back of falling lamb prices and other difficulties in the wider industry. We are frustrated too. Global prices have been under pressure in recent months and this, alongside the cost inflation experienced by the wider industry, had created ‘significant difficulties’ in the marketplace.

“As a farmers cooperative, the returns we offer our members are determined by the value we can achieve for the wool we sell on their behalf and the costs of bringing that wool to market."

While there had been positive signs of recovery in the wool market, the war in Ukraine and subsequent spike in energy prices reversed much of those improvements.

“The impact of high energy prices on the cost of processing wool has been enormous. Commercial scouring tariffs have increased by 30% over the past 12 months.”

Increased haulage rates and diesel prices have also been a significant challenge to the business.

Despite these difficulties, Ulster Wool has still been able to sell the wool achieving prices comparable to those in New Zealand.

Mr Hogley said: “We are optimistic about the future and believe there is much to be positive about.”

He added: “Increasingly we are seeing manufacturers willing to pay a premium for traceable wool and we have invested in our systems that give full traceability back to the farm.

“We encourage sheep farmers to continue supporting us as we continue to navigate these difficult times. We truly believe that with continued effort, determination, and innovation we can build a positive future for wool, but we all need to work together.”