Elders says no change to NZ wool business

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Elders' New Zealand business is unaffected by a decision to stop speculative trading of greasy wool in Australia, the company said today.

The company said media reports last week that it has stopped wool broking were incorrect. The company has only stopped speculative trading of greasy wool in Australia.

"This change in our business does not impact at all on our traditional broking, agency and auction services – these operations remain unchanged," said Elders' Australian general manager Mark Rodda.

He said the New Zealand business was not affected by the change and would benefit from the freeing up of capital that had been committed to speculative trading in Australia.

Elders' New Zealand managing director Stuart Chapman said broker and auction business Elders Primary Wool was continuing and there was no change to the JS Brooksbank unit. Mr Rodda said that business includes a greasy wool trading operation.

"We are acutely aware that current wool prices are unacceptable to growers and we are continuing to look for further opportunities to maximise grower returns," Mr Chapman said.

- NZPA