But the news is not all bad.

Speaking to exporters this week, Australian Wool Network Victorian manager Mark Quartermain said finer wools measuring well are still enjoying very spirited competition.

“In Melbourne, we are seeing the 35-40pc of the wool which of good quality making well above market quotes.

But there are still a lot of drought wools in the market right now and some of these broader Merino wools are yielding less than 60pc,” he said.

“These are receiving some big discounts.”

The widening gap in prices across the Merino types was evident last week as 22pc of a 56,000 bale offering was passed in.

The eastern market indicator lost 16c/kg, or 1.7pc, to close the week on 904c/kg.

The EMI actually lost 3.0pc in US dollar terms, to US848c/kg.

It is the lowest the overall market has been since September last year, according to AWEX.

But finer wools held up comparatively well, with the 18 micron guide falling just 5c/kg in the north, to 1450c/kg, while the 21 micron indicator lost 25c/kg, to 901c/kg..

This week a further 53,000 bales are due to be offered across the three main selling centres.

SOURCE: National wool news from Rural Press weekly newspapers, updated daily on FarmOnline