With falling sheep numbers, and reduced clip weights due to the drought, Gordon Litchfield, director Gordon Litchfield Wool, Cooma said it was imperative the two percent wool levy be maintained.
“The simple maths of going forward with the contribution we will run out of money for promotion very shortly if we reduce the levy,” he said.
“The two percent has never been more crucial … there is no doubt we have made inroads into markets and the movements we have made with wool and where it has gone is good but we can’t afford to drop the focus.”
Mr Litchfield recalls the time many years ago when the sale of men’s pants in the US disappeared almost overnight.
“We lost a whole market so we need to continue promoting our product and we will run out of money if the two percent levy is reduced,” he said.
“There is momentum in the market and we need to keep it going.”
Woolgrowers have enjoyed a good market for two years, and the returns are fantastic despite the recent market correction and that is being reflected in prices and clearances at recent Merino ram sales.
Coming on the back of those returns from sheep and wool, the re-investment in agriculture, whether it is infrastructure, genetics, or fencing for simple and efficient management has been enormous.
“Woolgrowers are looking for performance from their genetics and have been prepared to pay for it,” he said.
“The other thing … and I think an area where the media in general have really missed the story.”
“There hasn’t been anything about the investment people have put in to maintain these magnificent flocks
Mr Litchfield pointed out there are some seriously good drought stories with great management but we don’t see any mention of them.
“We have had some disastrous situations but where are the stories about how well it is being managed by such a large number of wool growers,” he said.
“It hasn’t happened … there is some very clever management through this drought but no one hears about it.”
There are many more options through this drought than previous dry times, as Mr Litchfield was pleased to relate.
“Prices for sheep and cattle are good … there are many graziers who are saying it has never happened before when stock and wool has been so good so it is worthwhile feeding them,” he said.
“We have the ability to secure that on a forward basis so our options are actually quite wide … but it is up the individual how they want to use it … the knowledge of feedlotting, sacrificing paddocks and those sort of things is now very good.”
Across the Monaro there has been a lot of good work done, the pasture improvement through the past ten years has been unbelievable, and Mr Litchfield emphasised with management it is not being wasted.
“There is now a predicted result … people can afford to feed for a certain amount of time and there is the ability to actually guarantee a return at the other end if they want to use a forward market,” he was excited to report.
“We are so far ahead of where we were in previous drought situations in both financial return and knowledge!”
