$\frac{p_{c}}{p_{w}} = \frac{a_{lc}}{a_{lw}}$. Where $a_{lc}$ and $a_{lw}$ are the unit labor requirements for the production of cloth and wine respectively (think of these as being the inverse of productivity in each sector). These prices are below $\frac{a_{lc}^*}{a_{lw}^*}$. The Home country has a lower opportunity cost in the production of cloth.
So given these prices, i.e., $\frac{p_{c}}{p_{w}} = \frac{a_{lc}}{a_{lw}}$ and $\frac{p_{c}}{p_{w}} < \frac{a_{lc}^*}{a_{lw}^*}$, I understand that Home will produce both goods (i.e., not specialise) while Foreign finds better to specialise in wine (since the relative price of wine is higher than the opportunity cost). But how does Foreign obtain cloth? Since Home is not exporting any cloth and there are only two countries, how can one of them be an autarky while the other specialises in one of the goods?