Sheep Industry News July 2025
I n May, the U.S. Department of Agriculture moved to protect U.S. producers from a New World Screwworm (NWS) incursion by closing the U.S.-Mexico border to cattle, bison, and horses from Mexico. U.S. Agriculture Sec retary Brooke Rollins also announced the USDA is investing $21 million to renovate an existing fruit fly production facility in Metapa, Mexico to further the long-term goal of eradicat ing this insect. Endemic to Cuba, Haiti, the Dominican Republic and countries in South America, the NWS fly has recently been detected in Costa Rica, Guatemala, Nicaragua, Belize, El Sal vador and Mexico. The pest was eradicated from the U.S. in 1966 and eliminated as far south as Panama by 2000. In 2022, the pest re-emerged north of the biological barrier in Panama and has steadily moved north through Central America and Mexico. While typically endemic to warmer climates (the larvae cannot survive in temperatures below 46 degrees Fahrenheit), a cold climate doesn’t eliminate the threat. Livestock and wildlife movement can transfer NWS to the northern regions of the country in the summer months where they can find hosts and spread until temperatures cool off during fall and winter. The pest does not discriminate between warm-blood The theme across all wool prices is that they have been steady to lower depending on micron, when compared to last year. For the month of May, prices for fine wool (micron 16.5-19) saw steady to incremental increases, with 17-micron starting in June at US$5.04 per pound, 18-micron at US$4.82 per pound, and 19-micron being US$4.61 per pound. In medium wools (micron 19.5-24), 20-micron (US$4.41 per pound), 21-micron (US$4.34 per pound), and 22-micron (US$4.24 per pound), prices have trended up on the year and gained since the first week of January. In coarser wools (micron 25-32), prices have remained steady for the last couple months, with 25-micron starting in June at US$2.34 per pound, which is a US$0.20 per pound increase since January. Market Indicator (EMI) peaked at 1250 AUcents/kg ($3.61 per pound clean basis) in the middle of March which was the highest since May 2023 (1,310 AUcents/kg), and the highest in U.S. dollar terms since January 2024 ($3.70 per pound clean basis). In the first week of June the EMI is at 1,199 AUcents/kg and has been oscillating around 1,200 AUcents/kg the preceding six weeks. When converted to U.S. dollars per pound, in the first week of June, the EMI price was at $3.51 per pound clean basis.
ed hosts, and wildlife, such as deer and even birds, can be infested. NWS spreads by flies, not from animal-to-animal. If left untreated, NWS infestations can be fatal. Animals usually die of trauma, toxicity, or other infections within two weeks. Previous eradication was accomplished by using the Sterile Insect Technique (SIT). SIT is the release of mass-produced sterile male flies in strategic areas. The sterile male flies mate with wild females, who mate only once in their lifetime, to produce unfertilized eggs. This eventually shrinks the wild population until the pest is eradicated. Currently, the only sterile fly production facility in the world is in Panama. While SIT is the only tool available to eradicate NWS, there are options for treatment once NWS is detected. Treatment involves killing and removing the larvae from the infested wound. Ivermectin has been successful in treating and even preventing NWS infestations. The larvae can also be killed by dressing an infested wound with topical larvicides. All wounds must be dressed to promote healing and avoid rein festation. After NWS was discovered in the Mexican state of Chiapas in November 2024, USDA established a buffer zone for fly control, and the Panama SIT production facility had enough capacity (about 100 million flies per week) to release sterile One of the rarities in the first three weeks of May was the reporting of domestic prices in the USDA National Wool Review report! In the first week of May, 794,894 pounds of wool (50 per cent clean basis, 50 percent greasy basis) was sold, in the second week 98,933 pounds (30 percent clean basis, 70 percent greasy ba sis) was sold, followed by 109,675 pounds (80 percent clean basis, 20 percent greasy basis) in the third week of May. USDA reported 35,349 pounds (100 percent greasy basis) sold in the first week of June. 20-micron wool had the highest price at US$3.28 per pound in the third week of May, which is 80 cents lower (20 percent lower) compared to the EMI converted price. Outlook Prices have started to hit the expected seasonal downturn with some prices trending below the previous five-year averages. De pending on whether you are a buyer or a seller, these prices could be positive or negative. Regardless of a person’s role in the supply chain, profitability margins are becoming thin. Producers and feeders have high input prices, and as we get ready for the sum mer/fall run, risk management should be thought about, along with value added opportunities.
USDA Takes New Steps to Address Screwworm Threat
See Screwworm story on Page 16
8 • Sheep Industry News • sheepusa.org
Made with FlippingBook Digital Proposal Maker