THE wool board will adapt and play an important part in the future of the UK sheep industrys even though the severe impact of foot-and-mouth devastated board plans and operations over the last year.

In the report and accounts for 2000-200l, Mr Frank Langrish, chairman, says that, until the outbreak of foot-and-mouth, sales were on target, costs well under control and plans for investment and development under way.

In the changed circumstances, the board will "explore every avenue of reducing costs and increasing the value of the clip", he writes in the foreword.

The programme of rationalising and reorganising wool collection had begun before the outbreak of foot-and-mouth but the new, larger Carlisle depot was now unlikely to open until next year.

With blanket restrictions on the movement of animal products, collection of last season's wool finished at 44m.kg, down from 45.7m.kg. the previous year. As a result, costs increased from 18.5p/kg to 19.7p/kg.

The virus can be carried by wool, but will normally be eradicated if it is stored for at least one month, so provision was made for the wool board to store fleeces for at least two months before sale. Sales rosters were adjusted to meet forward orders and maintain supplies.

Understandably, with more than 65pc of the clip normally exported, demand for British wool had been affected.

In the circumstances, the board decided to pay a more conservative balance and, although this might be disappointing, Mr Langrish said that, because of the board's management of the situation, Britain's 71,344 registered growers (down from 74,995 last year) were receiving the best producer prices in Europe.

Sterling remained strong against the weak $NZ and considerable effort would be needed to regain markets which might use other fibres. Nevertheless, the world market looked more encouraging than it did a year ago.