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WOOL422/522 Wool Marketing and Clip Preparation 17 - 1 ©2009 The Australian Wool Education Trust licensee for educational activities University of New England 17. Demand for Australian Wool Bob Couchman Learning objectives On completion of this topic you should be able to describe: The wool textile pipeline How decisions are made throughout that pipeline Key terms and concepts wool pipeline, derived demand, decision cycle, consumer profiles including spending patterns, market segmentation, product requirements, processor decision activities Introduction to the topic This topic describes the wool pipeline, its decision drivers from consumer to woolgrower and the decision cycle to fill demand by processors in the pipeline. Australia is the world’s major supplier of apparel wool and the wool textile pipeline is long and complex. The topic is divided into two major sections, (i) consumer profiles including spending patterns, market segmentation and product requirements and (ii) processor decision activities. 17.1 Derived demand Before discussing demand it is important to realise that the wool textile market is very diverse in terms of product and markets. On the one hand the products made from wool and the processing route it takes is heavily influenced by the diameter of the wool used. This is demonstrated in Figure 17.1. Figure 17.1 also shows that the diameter of the wool is heavily influenced by the country of origin. It is clear that of the major wool growing countries, Australia dominates the apparel wool market with the finer diameters and New Zealand dominates the coarser diameters. Similarly each segment of these product markets is further divided by country and consumer profile. These are discussed in more detail later in this lecture.

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Page 1: 17. Demand for Australian Wool - Woolwisemkg greasy 100 micron Australia New Zealand South Africa Uruguay carpets filled bedding women’s woven outerwear Superfine merino 19 um and

WOOL422/522 Wool Marketing and Clip Preparation 17 - 1 ©2009 The Australian Wool Education Trust licensee for educational activities University of New England

17. Demand for Australian Wool

Bob Couchman Learning objectives On completion of this topic you should be able to describe: • The wool textile pipeline • How decisions are made throughout that pipeline

Key terms and concepts wool pipeline, derived demand, decision cycle, consumer profiles including spending patterns, market segmentation, product requirements, processor decision activities

Introduction to the topic This topic describes the wool pipeline, its decision drivers from consumer to woolgrower and the decision cycle to fill demand by processors in the pipeline. Australia is the world’s major supplier of apparel wool and the wool textile pipeline is long and complex. The topic is divided into two major sections, (i) consumer profiles including spending patterns, market segmentation and product requirements and (ii) processor decision activities. 17.1 Derived demand Before discussing demand it is important to realise that the wool textile market is very diverse in terms of product and markets. On the one hand the products made from wool and the processing route it takes is heavily influenced by the diameter of the wool used. This is demonstrated in Figure 17.1. Figure 17.1 also shows that the diameter of the wool is heavily influenced by the country of origin. It is clear that of the major wool growing countries, Australia dominates the apparel wool market with the finer diameters and New Zealand dominates the coarser diameters. Similarly each segment of these product markets is further divided by country and consumer profile. These are discussed in more detail later in this lecture.

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17 - 2 – WOOL422/522 Wool Marketing and Clip Preparation ©2009 The Australian Wool Education Trust licensee for educational activities University of New England ©2009 The Australian Wool Education Trust licensee for educational activities University of New England

Figure 17.1 Wool Usage and Fibre Diameter Source: Prepared by K. Stott, The Woolmark Company, on behalf of the

Australian Sheep Industry CRC.

The clothing/processing cycle Demand for wool products is determined by the end user the consumer. This demand is translated into raw wool requirements in a very complex way. An easy way to depict this is as a cycle of events and this is presented in Figure 17.2 below. It all starts with the type of end-use requirements and price points. For example a men’s suit is purchased on the basis of its material (100% wool, wool blend or 100% synthetic), it’s price depending on many factors including fabric weight, style, material brand etc. comfort, drape, handle/tactile and surface appearance, colour and many other factors too many to explore here. The consumer’s choice can be altered by advertising, fashion, climate and affordability or disposable income. There are many markets for the consumer dollar and every product competes for a share of the disposable income.

0 20 40 60 80

100

mkg

gre

asy

micron

Australia New Zealand South Africa Uruguay

carpets

filled bedding

women’s woven outerwear

Superfine merino

19 um and

Merino 20 - 24 um

Medium crossbred 29- 32 um

Fine crossbred 25-28 um

Broad wool 32 um and

broader men’s woven outerwear

knitwear

underwear socks

blankets upholstery

rugs

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Figure 17.2 The Clothing/Processing Cycle Source: Prepared by K. Stott, The Woolmark Company, on behalf of the

Australian Sheep Industry CRC.

17.2 Consumer preferences As discussed above, consumer demand is a complex subject. Auer illustrated the demand for clothing in the following way. (Figure 17.3).

Figure 17.3 Demand for clothing. Source: Auer (1999).

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Much of this demand is reliant on the available disposable income that a consumer is willing to devote to clothing. This alters between markets and is illustrated below in terms of share of household expenditure spent on clothing. It is important to remember that this spending relates to all clothing not just wool. There is added competition within the clothing expenditure to capture a slice for wool textile based clothing.

Figure 17.4 Share of Household Expenditure Spent on Clothing in 4 Markets. Source: Auer (1999).

Auer (1999), using data from the Australian Bureau of Statistics, showed the break-up of consumer spending for Australia as an example of the competition for allocation of the disposable income (Figure 17.5.)

Figure 17.5 Competition for the Consumer Dollar. Source: Auer (1999).

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Consumer research undertaken by consultants for The Woolmark Company-(The Woolmark Company 1998) show that there are a number of important changes in the consumer population that are affecting the consumption and thus demand for wool. They called these “Key Lifestyle Changes” and they are listed below: • informal living and working – more consumers are living and working in informal situations and

thus the styles of clothing are also changing from the more formal suits, skirts and jackets to easy going styles.

• expert consumers – consumers are becoming better informed through the use of the internet and their knowledge of textiles and the environment as an example is increasing.

• youthful ageing – age has been an important criteria in the consumption of wool. Traditionally it is the older more conservative portion of the population that are wool consumers. This is due in part to the need for warmer clothing, when they were growing up in an era without central heating and the more available disposable income in the older population. This is changing with the rapid use of central heating and cooling. In addition, younger generations are becoming more affluent and thus having more disposable income to spend on clothing. This is illustrated in the figure below for Australian Womenswear (sweaters, cardigans, sweatshirts). An interesting feature of this graph is the age split of those born post-World War 2 (i.e. that section of the graph to the left of the green vertical line) and their use of synthetics and other fibres. This section of the population has grown up with the development and increasing availability of synthetic fibres where-as the section of the population to the right of the line have more traditional views and have a history of wool use and/or exposure to wool products from childhood.

• time for me • travel and technology-more travel and use of technology is putting pressure on the allocation

of disposable income to clothing into other options.

Figure 17.6 Effect of Age on Fibre selection and use – Australian Womenswear (sweaters, cardigans, sweatshirts). Source: Auer (1999).

Kurt Salmon & Associates (1999) also identified what are called “Key Apparel Purchase Drivers”. • value for money • casual looks • versatility • comfort • convenience • clothes that travel well.

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All of these factors go into the mix for defining or deriving demand for wool clothing. When it comes to the individual choice of a garment they showed that the following criteria were important in the selection decisions. • Brand – Today’s consumer is very fashion conscious and brand names are an important aspect. • Design & Colour – Whilst not the only determinant of price these two features high on the list of

importance for the selection of any particular piece of clothing. • Comfort / Fit • Quality & Performance • Price – Surprisingly price is not the major influence on purchase. • Easy Care – in today’s fast society time is an essence and “easy-care” is seen to be critical in

wool’s survival and use. Consumers want to have wash & wear garments and wool is perceived to be difficult to care for and requiring dry cleaning. Whereas cotton is seen as “throw it in the washing machine and dryer”. These perceptions therefore lead to the next item.

• Influence of fibre perceptions - cotton - easy care - wool - quality

In keeping with this theme, Johnson (1998) used comfort, performance and fashion as drivers for purchasing decisions of apparel products in different scenarios. These are provided in Figure 17.7 below.

Figure 17.7 Purchase Decision Drivers for Apparel Wool Products. Source: Auer (1999).

It is easy to see from this chart that different garment uses and climate types all have a different influence on the choice of a particular garment. The wool pipeline communication Once a consumer decides to use that disposable income in the wool textile sense these product attributes are passed back to the retailer who in turn provides orders to wholesalers and then down the chain to the garment maker, weaver or knitter, spinner, comber and topmaker, wool buyer (exporter) and finally the grower. The whole textile pipeline is demand driven not supply driven. This has implications in the marketing of grower’s clips and indeed in the decisions growers have to make in the production and marketing of their wool.

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The above scene is referred to as the product orders and specification segment of the cycle. These orders or specifications are translated into the processing and product flow of the cycle as is illustrated in Figure 17.1 above. The wool textile pipeline is extremely long. It can take up to 18 months or longer to go from raw wool in the shearing shed to a garment on the consumers back. The wool can criss-cross the globe a couple of times before it finishes its long journey. This is illustrated below in Figure 17.8. For example the wool is grown in Australia, made into a top in Europe, spun in China, woven into cloth in India, made up in Malaysia and sold into retail stores in the UK.

Figure 17.8 Schedule of distribution and processing stages for northern hemisphere purchases of Australian wool, 1996-97. Source: Morris and Stogdon (1996).

The language each sector in the pipeline changes however there is a degree of commonality. If we take diameter as the major price determining attribute in wool and look at how that changes throughout the pipeline the variations can be demonstrated in the simplified schematic diagram in Figure 17.9 below.

Figure 17.9 Schematic diagram of the language change for diameter in the wool textile pipeline. Source: Prepared by K. Stott, The Woolmark Company, on behalf of the

Australian Sheep Industry CRC.

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Starting from greasy wool we talk of microns and CV of diameter. By the time we get to fabric we are no longer talking of diameter but of fabric weight / m

2. Along the pipeline the mean diameter of

the wool in the product alters as some is lost in processing or different processes alter the physical attributes of the fibre but essentially we are still talking about the same attribute, diameter. In the first instance from greasy to top, the mean diameter increases due to a loss of fine fibres during carding and combing. Finer fibres are broken and removed as short fibre called noil. The change in diameter is typically 0.1-0.2µm. The next step is spinning; at this point we start to see the use of the term diameter disappear only to be replaced by a new term, count or even fibres in the cross section of the yarn. Yarn is spun as a single thread but is then often twisted with another thread to make a 2ply (or more) to increase its strength for weaning or knitting. This contributes to its final fabric weight along with fabric (weave of knot) design. At this point diameter becomes translated into a weight based measure. Knowing these translations and the influences on them allows participants in the pipeline to have a communication language. However, because of the different segments it is unlikely that each end of the pipeline can rationally discuss this one attribute with any meaning. A similar scenario exists for many other of the raw wool attributes that woolgrowers know and understand in their businesses. Such language trees could be drawn for them. It is this language or terminology that is used in the placing of orders and specifications for products within the wool textile pipeline. Australia’s place in the wool supply chain Australia dominates the apparel wool market producing something like 80% of this type of wool. This is demonstrated by statistics prepared by The Woolmark Company in their review of the mid-micron wool market (2003). It can be seen from these statistics that Australia’s share in this market is declining and is forecast to decline even further. This has also to be viewed in light of the change in the diameter profile of the Australian clip which has shown a distinct and continuing move towards finer wool. Table 17.1 Mid-micron production (20-30µm) by major producers (mkg clean). Source: The Woolmark Company (2003).

Season Australia (% of Total)

New Zealand Uruguay Argentina Total

2000/01 318 (77) 32 39 24 413 2001/02 Estimate 270 (75) 31 35 24 360 2002/03 Forecast 231 (72) 33 30 27 321

Table 17.2 Diameter profile of Australian fine wool sold at auction (bales) 1993/94 season to 2001/02 season. Source: The Woolmark Company (2003). 1993/94 2001/02 % Change <16.5 2,997 9,674 222.79 16.6 – 17.5 23,513 57,511 144.6 17.6 – 18.5 110,607 198,546 79.5 18.6 – 19.5 247,009 374,983 51.8 Total 384,126 640,714 66.8 Processor demand drivers As shown in Figure 17.2, processor demand is driven down the pipeline from the consumer and retailer. To gain some understanding of the effect this has on the raw wool it is best to look at the early stage processing area (topmaking and combing) to see what drives the decision process there. To re-cap, the comber reacts to orders being placed by a spinner.

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Top specification for yarn This is usually in the form of a specification detailing technical parameters. A typical example is provided below: • 5,000 Kg of top • 22.0 µm • 72mm Hauteur (top Length) • <48% CVHa • Short Fibre Content - normally <30mm or <25mm, but this can vary depending on each

spinners preferences • Total Fatty Matter (TFM) Supplementary specifications may include limits for: • dark fibres/100 gms • max. VM Specks • max. Neps Some spinners will also seek: • colour measurements in terms of the tristimulus values of X, Y and Z or more specifically Y-Z

(yellowness) • CVd (coefficient of variation of diameter • % fibres >30µm (comfort factor). In most cases, the spinner will also specify the type of package required. Tops are normally supplied in 25Kg bumps or bobbins; the choice is dependant on the spinner’s machinery. Decision drivers for yarn Depending on the structure of the combing plant, whether they are vertically integrated or independent processors, decisions will be very much dictated by the risk policy of the mill. In some cases where there is a good long standing relationship between comber and spinner an independent comber may punt on receiving on-going orders from long standing customers and actually make a top in expectation of receiving such an order. In other cases they will draw raw wool from stock to meet a specific specification. In essence there are no standard top orders but there are many similarities between some tops to the extent that combers often attempt to make a standard house type for sale by their sales staff. The specifications for a top are dictated by the end use or in the first instance the yarn and yarn count being made. This dictates the diameter requirement for a top and this diameter is generally associated with a fibre length (Hauteur). By using the count of the yarn to be made and back calculating using the following formula a spinner can determine the diameter of top required. D = √(Count (tex)/Fibres in the yarn cross section)*917 Typical values are provided in Table 17.3 below:

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Table 17.3 Typical Diameter & Hauteur Ranges for Worsted Yarns. Note: * tex = 1000/Nm. Source: Couchman, Capronex Services Pty Ltd (2007).

Count (Nm)* Diameter Range (µm)

Fibres in the Yarn Cross-

section

Hauteur Range (mm)

2/72 18.0-18.5 37-39 65 2/64 19.0-20.0 36-40 68 2/52 20.5-21.5 38-42 68-70 2/48 21.0-21.5 41-43 70 2/40 21.0-24.0 40-50 70-72 2/36 23.0-24.0 41-48 72 2/30 25.0-26.0 42-46 72-78 Most spinners like to spin around 40 fibres in the yarn cross section as it is relatively less risky. The closer you get to what is called the spinning limit, around 30-35 fibres in the yarn cross section, the harder it is to spin and the more risky it becomes. Costs increase the nearer one gets to the spinning limit as there is a tendency for yarn breakage to increase exponentially, to a point where it is almost impossible to spin economically. Top specification: Raw wool selection Once the diameter and Hauteur are set in the above manner the comber can then set about engineering the required top to meet those parameters. Using computer software such as The Topmaker System and prediction techniques such as the TEAM 2 prediction formulae it is possible to determine the best option in terms of both price and wool type to meet such a specification. Added to this having knowledge of acceptable ranges in the different raw wool attributes for each component part allows the comber’s topmaker to define the raw wool needed to make any particular top. A typical top specification provides mean values and component parts (or farm lot) tolerances and looks something like this: 10,000 Kg top • Diameter = 21.5um ± 0.7m • Staple Length = 95mm ±12mm • Staple Strength = 35N/Ktex, min. 30N/Ktex • VM = 1.5%, max component 2.5% • Predicted Hauteur (TEAM 2) = 70mm It is noticeable that one of the TEAM 2 prediction formulae variables, Position of Mid Breaks (PoB(M)), is missing. It is however accounted for by the use of a predicted top length. It may also contain other instructions regarding the types of wool such as 100% fleece wool or if a blend is required then 10% Pieces/ 90% Fleece. No shive. Some mills have trouble removing this type of VM fault and therefore add an exclusion clause to their specification. Top order drivers The comber will normally seek expressions of interest from exporters to supply such a top on a best offer price condition. The comber has a number of standing order types and regularly contacts exporters for quotes, selecting the best offer before placing the order. Given such a specification an exporter is now in a position to source the raw wool at auction or by private treaty. As with the comber:spinner relationship a similar relationship can exist between comber and exporter. In general however most exporters will not take a stock position but prefer to buy on order. In other words once they have secured an order they then seek to fill it from the market.

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What this means is that in buoyant times there is a lot of demand on supply and keen competition sees increases in market price. In periods of low demand then prices ease due to lack of competition. There are basically three types of combing operations: • Vertically integrated: part of a vertical processing operation, scourer, comber, and spinner and

even up to weaver and retailer in some extreme cases. These operations are typically found in non-European environments such as India and China.

• Comber merchants: combers that make tops for sale • Commission combers: combers who make tops for topmaker clients. Each have different cost structures and risk aversion policies. Generally speaking, however, each relies on volume throughput and thus tends to work on very low margins. Over a long period of time the raw wool to top price ratio is 1:1.6 however this is modified by current trading conditions. What this means is that if a comber pays 800c/Kg (clean) for the raw wool then by the time it is converted into top its value would have risen to 1280c/kg (top). A recent price quote for tops (June 2003) puts this ratio at 1:1.71 for a 21um top. At present many combers are in fact operating on reserves to stay in business, i.e. they are currently operating at a loss. This is due in part to the poor demand for wool but it is exacerbated by an over supply of combing capacity. Various industry sources suggest that there is currently in the region of 35-40% over capacity in the combing sector. Until such time as there is some rationalisation of this situation and we see some plant closures combing margins will continue to remain depressed. In an operating environment dependant on throughput, any decline in demand and thus throughput puts such operations at risk. Blake (1997, 1998) provided an insight into the cost of Topmaking in Australia and high lights some of the important features in combing and quoted from The Wool Task Force Report, an inquiry into the wool industry undertaken in 1991. • macro-economic issues • exchange rates: like most commodities exchange rate movements can have a drastic effect on

competitiveness. • interest rates: similarly changes in interest rates in different countries can affect the

competitiveness of a comber based in Australia compared to one in another country. Low margins The Wool Task Force provided some insight into topmaking (combing) costs. At that time (McLachlan 1991) combing costs were put at between $1.35 - $1.80/kg. Today, it is still possible to obtain commission combing for a similar cost. Combing costs are dependant on a number of factors: Diameter: the lower the diameter the higher the risk and difficulty in combing. Finer fibres break easier in processing and there is a higher noilage (waste), thus the cost of combing becomes higher. Yield: the higher the yield the better in terms of cost. The Schlumberger Yield that is used to describe raw wool is in fact a value that describes the percentage of top and noil a comber can expect after the wool is scoured and combed. There are other yields used in the wool industry but Schlumberger Dry yield is the most useful as it provides a measure of predicted top outcome. Combing efficiency: the more efficient a comber is in turning greasy wool into top the lower the processing costs are likely to be. This efficiency can manifest itself in a number of ways: • less fibre breakage, • more efficient use of plant and labour and • less variation in plant:wool interaction.

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High combing efficiency also provides a comber with the opportunity of purchasing lower quality wool than a less efficient competitor and still obtains similar finished top outcomes. These all go to make up what can be termed combing performance risk. High cost: a modern combing plant has a high capital cost; around $50m for a singly line plant. Efficiency in use of that plant and the labour force is critical in remaining competitive. Similarly, combing relies on the use of technology rather than labour, but a highly qualified staff is required. The Wool Taskforce provided values for other important costs associated with combing: • contamination - 14c / kg • effluent -

o 20c / kg W. Europe. o 5c / kg Australia

§ risk costs o client complaints o non-guarantee o 1.5c / kg

• raw material - 70% of total Seasonality of supply Supply of specific wool types can be seasonal and this puts pressure on wool availability throughout season. This causes supply - demand imbalance within the combing industry and adds to price volatility. From an Australian combers point of view the inability to import raw wool also adds to this imbalance from time to time. stock holding costs • financial • storage capacity Raw wool supply There are a number of avenues available to an exporter to obtain supplies of wool to fill orders for combing mills. • Auction: the regular sales held throughout Australia via the AWEX auction system. • private treaty: private arrangements with growers, brokers or private treaty buyers. Companies

who buy direct from farm. • stockpile forward sales: when prices are attractive some exporters will take a stock position and

buy in wool that is common to perhaps 80% of an order then make purchases out of the auction to fine tune their blend engineering to complete orders as delivery time becomes closer. This allows them to compete more vigorously for orders. There is however and cost associated with storage in such a buying position.

• trade: trade between parties can occur when a party takes a stock position and then seeks to sell-on part of that stock-holding.

• sale by description: the sale of wool by description has been an industry dream for many years. In some respects it is a reality today with a large proportion of the Australian wool clip being sold with measurements. This is particularly so with combing length wool (>50mm) where the majority of wool (% Fleece wool and % pieces wool) is sold with additional measurements. These measurements are diameter, yield, staple length, staple strength, Position of Break and VM content. The main deficiency in this is the description of the unmeasured attributes such as type, style, VM type and other fault descriptions such as cotts, stains etc. (see earlier Topic 6 - Style and Type and Topic 7 - Classing Systems) are not accommodated. Without those many wool buyers are unwilling to commit to such as system without the safety of an industry guarantee. Something the industry has been unwilling to commit to.

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• electronic selling: a number of electronic selling systems have evolved with the advent of more speedy computer systems. Most of these revolve around a bulletin offer board system that allows buyers to either place bids or accept reserves placed on wool offered under such systems. One of the criticisms of such systems is the lack of appraised characters and guarantees.

Overseas options Whilst most Australian combing style wool is measured for length and strength attributes much of the wool from other countries is not and therefore combing mills using such wool have to rely on buyer estimates or mill staff estimates of processing ability of those wools. To reduce the processing risk of not meeting specification, combers use prediction techniques such as the use of the TEAM suite of equations. When non-measured wool is included in a combing consignment the processing risk increases accordingly hence measured wool attracts a higher price than unmeasured wool. Delivery costs - farm gate to mill An important cost in the combing equation is the costs associated with marketing the clip. For many years an analysis of “sheep’s back to mill” costs has been published. This breaks up these costs into a number of segments (and sub-groups within) such as harvesting, woolpacks & transport, warehousing wool-tax, buying costs and export transportation. Details presented below in Figure 17.10 show the percentage values for 2000/2001. The split in costs between grower and mill are 80:20 respectively. The costs amount to an average of 202.5c/kg for an average wool value of 511.6c/kg i.e. approx. 40% of the cost of the greasy wool. When this is related back to the raw wool to top price ratio discussed above the sheep’s back to mill cost component makes up for approx. 25% of the value of the top.

Figure 17.10 Harvesting, Marketing and Distribution Costs for Australian Wool - Sheep’s Back to Mill Costs (%). Source: Gabrys (2002).

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Readings There are no readings for this topic.

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Summary Summary Slides are available on CD

This topic describes the wool pipeline, its decision drivers from consumer to woolgrower and the decision cycle to fill demand by processors in the pipeline. Australia is the world’s major supplier of apparel wool and the wool textile pipeline is long and complex. The subject is divided into two major sections:

(i) consumer profiles including spending patterns, market segmentation and product requirements and

(ii) processor decision activities.

References

Angel, B. 1997, ‘Consumer Demand, Wool Marketing,’ Cooperative Research Centre for Premium Quality Wool, Woolwise PowerPoint slides.

Auer, P. 1999, Cooperative Research Centre for Premium Quality Wool, various Woolwise PowerPoint slides.

Blake, M. 1997, The customers of the wool industry - the topmaker, Cooperative Research Centre for Premium Quality Wool, Woolwise PowerPoint slides.

Blake, M. 1998, Demand: A processor’s perspective, Cooperative Research Centre for Premium Quality Wool, Woolwise PowerPoint slides.

Dinor, S. 1997, The modern consumer, Cooperative Research Centre for Premium Quality Wool, Woolwise PowerPoint slides.

Gabrys, M. 2002, Sheep’s Back to Mill Year Book - 2000-2001, Australian Wool Exchange, Sydney.

Johnson, N. 1998, ‘The Drivers of Apparel Innovation,’ Wool Technology and Sheep Breeding, vol. 46(4).

Kurt Salmon & Associates, 1999, Woolmark 2005, The Woolmark Company, Melbourne.

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WOOL422/522 Wool Marketing and Clip Preparation 17 - 15 ©2009 The Australian Wool Education Trust licensee for educational activities University of New England

McLachlan, I. 1991, Diversity & Innovation for Australian Wool: Report of The Wool Task Force Report, Commonwealth of Australia.

McIntyre, J.E. and Daniels, P.N. (eds) 1995, Textile Terms and Definitions 3rd edition, The Textile Institute, Manchester, UK.

Morris, D. and Stogdon, A. 1996, World Market Reports for Wool: Forecasts to 2000, Special Report No. 2642, Textiles Intelligence.

Stanton, J. & Senior, A. 1994, Wool Market Awareness, Curtin University. The Woolmark Company, 1998, Woolmarket Research Group, The Woolmark Company. The Woolmark Company, 2002, Review and Outlook for Fine Wool – 2002, The Woolmark

Company, Melbourne. The Woolmark Company, 2003. Review and Outlook for Mid-Micron Wool – 2003, The Woolmark

Company, Melbourne. The Woolmark Company, 2005 and 2007, Figures prepared by K. Stott on behalf of the

Australian Sheep Industry CRC. Webster, H. 1997, ‘Consumer Demand Factors in Apparel,’ Cooperative Research Centre for

Premium Quality Wool, Woolwise PowerPoint slides. .

Glossary of terms You are encouraged to visit the following web sites for definitions of common terms:

www.standards.org.au www.IWTO.org

Bumps a package made by press-packaging layers of coiled top. (McIntyre & Daniels 1995)

Bobbins a cylindrical or slightly tapered form for holding tops, rovings or yarn which are wound onto the bobbin. (Textile Terms and Definitions 1995)

Count (Nm) new metric count is equivalent to 1000/tex CV Hauteur the distribution of Hauteur Hauteur the mean fibre length of a top or sliver measured by the Almeter AL100

TEAM. Trials for Evaluating Additional Measurement – processing prediction formulae

Tex mass in grams of 1 kilometer of yarn

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