For years we have supported the ailing wool industry, perservering, making losses, improving genetics and production, bringing our operation to be one of the best so as to make the most of better prices as the industry 'comes good'.

To be slapped in the face like this makes one wonder wether it will be worth the effort.

At this point in time, I would be happy to sell up, take the money and run like hell!

I remember the last time that some directors of an Australian agricultural product company were kept in the dark regarding the business of the company of which they were a board member.

Look what, quite rightly, happened to them.

How can the buyers of wool have any confidence in the future of the Australian wool industry when those who are supposed to be showing the way are dysfunctional?

Continuity of supply is fundamental to capital investment in wool textile manufacturing.

The way the so-called leaders of the wool industry are behaving, soon, all the Merino the sheep will be gone and somebody else in another country will supply the world with wool.

A cottage industry will survive so that at least we can keep warm as we tell our grandchildren about the 'Great Australian Merino'. So sad.

You make a rod for your own back when you half educate a fool. For 19 years now this that was Australia's biggest industry has been managed by people with no more than half an education. They have their university degrees, yes, but they do not understand the most fundamental aspects of marketing. It is true as Roger Crook says that our management has been dysfunctional. This is what makes it necessary to change the management. Clearly the people who have been the managers don't have what is needed. If somebody does not do something soon his forecast of a remnant cottage industry is all we will have. How can the buyers of wool have any confidence in the future of the Australian wool industry when the price is too low to support continuance of supply? They can't. There is no sound basis on which traders in wool can make plans for the future. Hence the collapse in the price. For the trade in wool to recover the production scene must have venture capital. We must produce wool for traders to build marketing plans around. In the current environment no outsiders are going to be putting venture capital into wool. That capital must come from the same producers, the james171s of Australia, who have defied the management by sticking with wool till now.

So how can this be done? I make a call to all remaining wool producers and their bank managers to put a reserve price on half their fleece wool which is consistent with an EMI of 1150 cents. There is no future in continuing to sell wool below the cost of production. No future for growers, no future for traders, no future for wool. It should not be necessary to withhold anywhere near half of the wool from sale. Indeed we must take care to not so disrupt supply that we bankrupt more of our clients in the trade. But what we must have is a goal, an achievable guide around which marketing plans can be made.

When are all the greedy industry players going to look at cutting all costs to provide a better return to growers. Brokers, buyers and processors do NOTHING to cut costs, yet demand more and more from growers. Where are the farmer groups now? They must have retreated back to their cushy offices to digest the slap up annual get together they enjoy. Lower prices will lead to cost cutting by the grower resulting in a poorly prepared product which relates to the price being offered. Where are the processors and buyers that are worried about wool's future, saying that more has to be paid? It is about time all these groups got together and announced their future policy towards wool, so that the grower can start planning a start in another field of agriculture.

The sad thing about the comments above is the complete disconnect with the realities of the wool market. James, if your business plan is to wait until wool 'comes good', you're in the wrong business..... Roger, the wool industry cares little if at all what AWI does and makes decisions on capital based on the market. Low wool prices reflect low demand. Low demand means lower capital invested. Supplying more wool doesn't change this equation....Ted, set a higher reserve for your wool by all means. It won't change the price at market - it will just push more buyers to buy from other countries (or other types of fibres)...Jerangle, pot shots at players in the supply chain is easy and often fun, but your comments are just plain wrong about them not cutting costs. How about this? Rather than getting paid promptly when you sell your wool, you accept the same terms that exporters have to accept? Payment on 90-120 days? And how would you like to try to get credit in the current financial market?

Unfortunately Sir George, the wool industry continues to operate as it did in the 1800s. Where are brokers and buyers trying to improve efficiencies? Where are farmer groups pushing for changes in marketing? This was happening before money became tight.