From its humble beginnings back in 2011, the South Australian Schools Merino Wethers Competition has gone from strength to strength.

The wool market showed signs of stabilising at sales in Sydney and Melbourne today on the back of a much reduced offering.

Wool auctions should continues despite last week's big price drop of almost 10pc in the benchmark eastern market indicator.

Last week saw a further 163 cents a kilogram wiped off the Eastern Market Indicator figure.

Last financial year was another record-breaking affair for both lamb and mutton exports with big increases in sales to the US and China.

Australian wool production is poised to shrink yet again during the coming selling season.

Wild dogs are putting more pressure on already drought-strained families.

Luxury retailers selling premium woollen clothing are also feelingthe pinch, says IWTO.

Wool prices have continued to dip today but losses were less than half yesterday's fall as growers withdrew more clips from sale.

The US-China trade war is having a damaging impact on Australia's wool market which depends heavily on demand from China.