Our Sale Process...
A.M.M.O. Ltd has schedule three selling
seasons for 2008, but reserves the right to cancel or postpone a sale
(only under extenuating circumstances), if the current market climate
is unfavourable. The advertised date of the close of receivals for any
selling season is the date the fibre must be at the depot or receival
centre – not the date that the fibre must be with us here in Narrandera.
After this date, the fibre is collected from the receival centres and
transport depots, and delivered to our complex in Narrandera where classing
is completed. This can take up to 3 - 4 weeks.
The classed fibre is then pressed into bales, and these bales are sorted
by type into lots for sale. All lines are tested, and sold with either
full AWTA certificates or full guidance test results. These results, which
take an additional 3 to 7 days to produce by the Australian Wool Testing
Authority (AWTA), are included in the catalogue distributed to buyers.
Larger producers with single bale lots can have their fibre tested and
sold under their own brand name as a separate lot to the pooled fibre
but A.M.M.O. Ltd must be advised of a wish to take up this option prior
to consignment to allow for separate handling and storage of Producer
Lots.
The fibre in these lots will still be re-sorted to ensure trueness to
type and micron and charges levied appropriately. This method of selling
is not preferred however, as producer lots can tend to make less money
than pooled fibre of the same description.
For more information click here.
Sale is conducted via an auction process where buyers travel to Narrandera
to view bales displayed in a traditional manner and lot samples prior
to the commencement of the sale. Once the auction is completed and invoices
issued, buyers then have 14 days from the date of the invoice to make
payment. This is why our payment date is up to 6 weeks after the close
of receivals. Virtually all fibre is now sold via the auction process,
but in the past some bales of poorer quality fibre have been sold by private
treaty during the sale period, and prices obtained for these bales are
averaged with the price achieved for the remainder of that line at auction.
(There is usually not a great deal of difference in prices, and this can
have a positive affect on the price eventually paid out).
After all payments are received from the buyers, you will be paid by either
cheque or direct credit to a nominated account. The direct credit method
is the preferred method of payment and producers who select this option
can expect to receive their payments in a more timely fashion. Direct
credit can be made to bank, building society or credit union accounts.
Each producer is sent a copy of their account sale and a newsletter (members
receive a newsletter even if they do not have fibre in this sale. Non
members can pay a nominal subscription to the newsletter and also receive
all four annually.). The account sale lists details such as the season
to which the grower’s proceeds are relevant, the Producer's details
and trading name, also the breakdown of all types sold, and prices realised
at the sale. The charges are listed, and deducted from the gross sale
proceeds with the net return shown including GST where applicable. The
current newsletter is issued to keep producers up to date with local and
international market trends and A.M.M.O. Ltd news.
