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Parade of Champions Sale – Auction Analysis

July 6, 2009
Accoyo America Calendula

Accoyo America Calendula sold for $52,000

The prestigious annual event, kindly hosted by Greg and Diana Mecklem of Pacific Crest Alpacas is over until another year. As expected, average prices were down for the sale which in precedent is known for its high-priced Accoyos (and rightfully so if you ask the right people). Some have said the simple answer for low prices is that the quality of stock was lacking this year at the Parade of Champions sale– a surprise to many. Others have gone on to speculate whether buy-backs were in action.

Lets start with the prices… In my mind it’s plain and simple- the economy has people a bit more reserved, which is the last thing sellers want to see on an audiences face at auction. Here’s some data to mull over, provided by the lovely Melinda Cook at Trueheart Alpacas. One thing to keep in mind– notice the exponential downward trend of male Huacaya prices over the years…

Some people believe that the quality of animals over the years, has decreased at the Parade of Champions sale. This could be true, and maybe the breeders are retaining more of their top tier stock. But, I believe the simple answer to this observation is that the level of quality outside the farms of Accoyo America, Crescent Moon, and Patagonia has improved at a faster pace. Thus, making it easier for breeders to track down their next foundation dam/sire. Susan Rempe of Four Corners Alpacas in New Mexico supports this theory:

“Maybe many people are avoiding buying at auctions because they can probably buy many quality animals just about everywhere.
I would wager if someone put a looking to buy ad on AN or AM they would probably be swamped with responses. Just like the housing
market the alpaca market needs to get past the glut in order for the prices to start going up. Law of average, if there are more for sale than
there are buyers, those buyers are in the drivers seat ”  Susan Rempe

Aside from the quality aspect, I also believe genetics have a part to play in this trend. In a previous article I outlined some theories on the future of the Accoyo market– a niche market whose average sale prices have gone down dramatically over the past few years. Furthermore, the Accoyo genetics offered at the Parade of Champions sale, tend to be along the same bloodlines year after year. This has certainly diluted the demand for these lines which often trace back to Caligula and Camilio. Aside from that, I find that history has shown, Chilean and Bolivian mixes WITHOUT a sizable show records selling at the lower end of the spectrum. This could explain why those animals did not sell high, even in their own market.

It will be some time before the buy-backs (if there even were any) will be disclosed. Nonetheless, I will post them when the time comes.

I don’t want to come off as too cynical of the Parade of Champions sale. It was a pristine sale as always, and fun to watch. Over 170 people tuned in via live internet feed; showing at the very least people are still very much engaged in the industry still.


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