|
Wool Buyers Encourage Growers
To Be Aware Of Poly Problems
By Colleen Schreiber
Throw away those blue and orange tarps, especially those that are
frayed or weatherbeaten, or at least keep them away from shearing
facilities. Don’t tie old poly tarps together and use them to shoo
sheep into the pens. Be particularly conscious of hay baling twine;
keep it picked up, and remove any baling twine prior to grinding hay.
When possible, reduce contamination by taking a little extra time
during shearing to prepare the clip.
That’s the message wool buyers are sending to growers now that
the shearing season is well underway across the country. The American
Sheep Industry Association is also taking up the cause and making
awareness of polypropylene contamination a paramount issue for the
wool industry.
To that end, they’ve implemented a certified shearing program
whereby shearing crews agree to comply with certain best management
practices. More than anything, it’s an educational program to make
shearers and growers alike aware once again of the problems that poly
contamination causes for the wool industry.
"The idea is to reduce the risk of polypropylene," says
Rita Kourlis-Samuelson, ASI deputy director of operations and wool
marketing director. "Poly contamination is a multilevel problem,
and we all need to participate to solve the problem."
There has been a renewed push for an educational and awareness
program because this past year was a particularly bad year for poly
contamination.
Ashley Bullock, director of corporate purchasing for Burlington
Industries, a 22-year veteran of the company, says 2003 was the worst
year he’s ever seen from the standpoint of polypropylene
contamination in finished fabric.
"There’s absolutely not another year to compare it to,"
Bullock says. "In previous years we would always have one or two
top lots that would have some contamination. We’d deal with it for
two or three weeks and then it would go away.
"These problems started in November and December of 2002 and
it ran the entire calendar year."
Burlington uses two different types of top to make fabric for their
government contracts. One is what they call a 64s, which is made from
New Mexico, Texas and Territory type wools. The other is a 62s, which
is mostly made from Territory type wools. The 62s, Bullock says, goes
into a 100 percent wool fabric, and the 64s go into almost exclusively
a wool/polyester blended fabric.
While the company experienced a significant increase in poly
contamination in both of their government top products in calendar
year 2003, the greatest negative impact occurred in their 62s line.
"Just on that one style, it cost us an additional $50,000 in
handling and mending time," Bullock says.
Polypropylene contamination is a "spun-in defect." What
growers may not realize is that the only way to remove the poly once
it’s in the fabric is to manually pick it out piece by piece with a
pair of tweezers. When it’s pulled out, it leaves a gap in the
fabric which then has to be mended.
"Normally it takes 45 minutes to inspect 100 yards of fabric.
We literally go through it yard by yard and pick out the poly,"
Bullock says. "This past calendar year it took us as long as 200
minutes to get through 100 yards of fabric. For the whole calendar
year, we were averaging 120 minutes or more per 100 yards on this one
style."
Burlington traditionally buys the better-prepared wools. They haven’t
changed anything in terms of their buying practices. In 2002 and 2003
they sourced their wools from the same places they’ve always sourced
them — primarily from Texas, New Mexico and the Territory states,
areas where poly contamination traditionally has not been a problem.
There is much speculation about why poly problems were more
pronounced this past year. Some blame it on drouth, thus more feeding
and consequently more chance of contamination. That line of thinking
fits in with the fact that the wool that went into the finished fabric
with which Burlington had all the problems was actually wool purchased
in late calendar year 2002 and early in calendar year 2003. Still,
Bullock is hesitant to point to any one thing.
The diminished size of the clip, he speculates, could also possibly
have something to do with it. He makes a comparison to the Black Sea,
which is said to be getting saltier as it shrinks.
"There’s not more salt in the sea, just less water. The same
could be said for the wool clip. We’ve always had a poly problem,
but there’s less wool available today to choose from."
The shearing shed, Bullock stresses, still provides the greatest
opportunity for removal of any defect in a wool clip.
"If it’s not removed at the shearing shed, the next time
that we can truly get it out is in the finished fabric," he says.
"The combing process won’t remove long vegetable matter and
polypropylene."
Bullock says he’s anxious to see if the situation improves once
they get into the balance of the 2003 wool clip and the beginning of
the 2004 clip.
"We have changed our buying practices such that we will go
back after our suppliers for retribution for poly contamination if it
is in an excess amount," Bullock concludes. "If we go
through this season and realize that this is now going to be standard
operating procedure, we will have to adjust all our prices to
compensate for the additional costs that are incurred. If that
happens, then at some point it impacts the growers in the form of
lower wool prices."
Another reason poly contamination has come to the forefront once
again is because American wools, now more than ever, have to compete
in a global marketplace. Just five years ago the majority of the U.S.
clip was processed and consumed right here at home. Today just the
opposite is true. Some 50 percent of the U.S. clip is now exported,
processed and consumed overseas. American wools are being sold in
China, India and Europe, to name a few.
Terry Martin, with Anodyne Inc. in San Angelo, points out that many
of these newer users of American wools are just in the process of
learning about the characteristics of the domestic clip. That means
the good qualities as well as a few of the not so good
characteristics, of which poly contamination heads the list of
complaints. Simply put, poly contamination makes U.S. wools harder to
sell on the world market.
Two of the foreign combers with whom Anodyne does business are
experiencing poly problems.
"One foreign comber has made it a policy, after many years of
suffering from poly contamination, to only use American wool in
combing blends with other poly suspect types such as Romanian, Russian
and Hungarian wools," Martin says.
"Because of potential poly contamination, some of our
best wools will never — as long as the situation remains
unchanged — have a chance to compete for top dollar," Martin
says.
Growers may not realize it, he says, but the associated costs from
poly contamination are already being passed back to the grower in the
form of lower wool prices.
"If a buyer suspects any wool of having poly in it, he
automatically downgrades that wool," Martin stresses. A buyer has
to do this because he knows that he will receive quality claims
farther down the production chain, which will translate to payouts
against those claims. Further, this cash would otherwise be available
to pay growers higher prices for their wool."
Eric Durand, commercial manager for Chargeurs Wool USA, says
contamination is the number one issue with U.S. wool. He isn’t
talking just about poly contamination, but jute contamination as well.
The amount of money Chargeurs pays out in claims for poly
contamination, Durand says, varies from year to year but generally it
runs from $50,000 to $100,000 annually.
"And that’s being selective with the clients we sell
to," he points out. "There are some clients that I don’t
sell to because it’s too risky. Yarn that goes into weaving, for
example; we know we’re going to have problems if a defect shows up,
and I know I’m going to have contamination, so I simply don’t sell
to them.
"So the losses are not only what we financially pay, it’s
also what we lose in not having a customer or losing a customer who
has a claim."
While poly contamination isn’t an easy problem to remedy, Durand
reiterates that there definitely are some management practices a
grower can implement to reduce the problem.
"We do the best we can where we can," he stresses,
"and the first thing we need to work on is packaging."
He’s not just referring to preparation of a clip but packaging of
the clip itself.
"The U.S. is the only civilized country that still uses
sausage bags. I’m talking primarily about Texas," Durand says.
"I don’t understand that.
"We know where the jute contamination comes from, and it costs
us. "It’s one type of contamination that we can
eliminate."
Proper packaging, he points out, is a direct cost saving for any
mill.
"Everyone buys wool on a clean delivered basis. That’s how
we calculate prices, and then we deduct costs to get to a greasy
f.o.b. price to the grower," Durand explains.
"If I only get 35,000 pounds of wool on a truck instead of
40,000 pounds, that costs us in freight. If I have to rebale the wool,
that’s another deduction. Anything extra that I have to do to the
wool is a deduction to the grower," he points out.
Darrell Keese, wool buyer for Forte, Dupee, Sawyer Co., offers
similar thoughts.
"I love this business, but poly contamination is about to put
me out of business," he insists.
He says his customers tell him that U.S. wools are great except for
black fiber and poly. The black fibers, he points out, are easier to
live with than the poly.
"They can overdye the black fiber or not use it in pastels,
but the poly ruins it," Keese says. "Consequently, they
either bid less for it — they may offer the same price as cheaper
foreign wool that has kemp or poly in it — or they simply don’t
renew contracts."
The potential for poly contamination tends to be magnified in farm
flocks or in areas where sheep graze alfalfa or coastal fields. Those
who shed or feed lambs in a confined operation tend to have a higher
risk of poly contamination as well.
But Keese insists that the poly problem is everyone’s problem for
two reasons, the first being that poly contamination can be found in
every region of the U.S.
"Nobody can say their area is poly-free," Keese remarks.
The second reason is that the average size of the individual clip
has diminished so much that some wool companies are being forced to
mix wools from one region or state with similar wools from another
region.
"We can’t sell a wool as all Texas or all Montana or all New
Mexico anymore," Keese points out. "We’re selling a
product 12 months out of the year, and to do that we have to put like
wools together from all over the country."
Keese says lately he’s seeing as much or more contamination from
tarps as he is from baling twine.
"As the wool comes out of the dryers, I have employees pulling
the contamination. Half of what they’re pulling now is blue or
orange tarp material."
Contamination from these tarps, he opines, is worse than twine
because it’s contamination that can be stopped easily enough.
"It’s just carelessness. We can clean that up."
He encourages growers to be at the shearing barn while shearing is
in progress.
"If the shearing crew has one of these tarps, you’re
potentially taking the risk of getting discounted or getting a
claim."
Keese says he gets frustrated with growers who ask how much he’ll
pay if they clean up their poly problem.
"My response to that attitude is, ‘If you can’t clean it
up, I’ll be out of a job and you’ll be out of the sheep business.’
That’s pure and simple.
"If I see it, I discount it severely or I don’t buy it at
all," he adds.
Pendleton wool buyer Dan Gutzman says the two groups that can best
affect whether a wool clip has poly or not are the shearers and the
classers. Pendleton has not had as much problem with poly, and Gutzman
attributes this to the fact that they only buy classed and skirted
wools. It’s a practice they implemented in 1990.
"Since we’ve been doing that, we’ve seen a large decrease
in the amount of poly contamination we are finding in our
fabric," Gutzman says.
Pendleton pays a little better price for those wools.
"We have a group of what we call regular growers. They shear
the wool and send it to me with a classing sheet. I weigh it up, core
it and make an offer to them, and it never gets out on the open
market," he explains.
Rupert, Idaho producer Henry Etcheverry is one of Pendleton’s
regular growers. He’s been preparing his clip this way and marketing
it to Pendleton for almost 14 years.
Diane Looney is a free agent self-employed level four classer who
has been classing Etcheverry’s wool for the last 13 or so years.
Looney went through the American Sheep Industry Association wool
classing program back in 1991.
She classes wool from 80,000 to 100,000 head each year, primarily
in southern Idaho. She’s worked with the same shearing crew for 11
years, and there is no poly contamination anywhere in that outfit.
"The shearers are there to shear sheep; poly is my
responsibility," Looney says, "and it is my primary
focus."
Ninety percent of the poly contamination she sees is from hay
baling twine.
"It sticks out like a sore thumb. It’s blue, orange or
yellow. I tell these growers that they’ve got to get it off the
ground before they can get it off the sheep. They have done so much
better," Looney insists.
"A few years ago Henry ran his sheep on an alfalfa hay field.
There were baling twine tails left in the field. I stopped the crew
that year and told Henry that he had to get more men on the skirting
tables because the tails were showing up in the clip. He did, and we
took care of the problem. He hasn’t run on a hay field since,"
she says.
Looney appreciates the problems that poly contamination causes
because she had the opportunity to tour one of Burlington’s plants
when she was going through training.
"They have to pick it out and then reweave the fabric. It’s
time-consuming and very costly.
"Wool is a wonderful product," she concludes. "I don’t
care what grade it is, but if it’s tainted, you might as well be
selling dog hair. That’s how I feel about it."
|