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Prices fell at this week's sale resulting in Cape Wools Merino indicator shedding 3.5 percent.
The market indicator closed yesterday at R111.98 per kilogram for clean wool.
Cape Wools spokesperson, Lizelle Delport, says traders were hesitant and questioned the sustainability of current price levels as well as the strength of the renewed consumer demand.
She says a stronger Rand against the US dollar also played a contributing role to the drop in prices, which reflected the global market as the Australian market also weakened.
Delport says the next wool sale will be next Wednesday when approximately 6 000 bales will be on offer.
