Tuesday, 09 March 2021 07:55

Is wool sector sustainable?

Written by  Jessica Marshall
Tom O'Sullivan says in 2020 it cost him more to shear his sheep than he earned for his wool. Tom O'Sullivan says in 2020 it cost him more to shear his sheep than he earned for his wool.

New Zealand's wool industry might not be sustainable, says the chairman of Campaign for Wool NZ.

Tom O’Sullivan says 2020 was the first time in three generations of his family farm that it had cost more to shear his sheep than he earned from the price of wool on the market.

“That’s totally not sustainable,” O’Sullivan told Rural News.

“Globally, consumers have been obsessed or romanced by synthetic fibres.”

He says that while fine wools like Merino do well on the market because they can be used for clothing, it only makes up 10% of New Zealand wool products.

A further 80% of New Zealand wool is strong wool, used mainly for carpets and rugs.

Data from Stats NZ reveals that total wool exports fell 30.2% to $367 million in the year to January 2021. The data suggests that New Zealand earned more from live animal exports than from wool clip.

O’Sullivan is concerned that it will reach a point where farmers are only shearing sheep for animal health purposes.

He says that farmers are now moving away from farming the Romney and Perendale breeds that produce strong wool and are purchasing Wiltshires instead.

“In my personal opinion, the New Zealand wool industry has very much rested on its laurels,” he says, pointing to the lack of movement in the research and development space.

The global Campaign for Wool was founded by the Prince of Wales in 2008 in reaction to the rise of synthetic fibres. In 2011, the New Zealand arm of the Campaign was launched with the aim of educating Kiwis and creating awareness about wool.

The Campaign has moved towards supporting specific companies in New Zealand, something they were previously hesitant to do. Its website now features a list of companies, including Bremworth (formerly Cavalier Bremworth), which use New Zealand wool in their products.

“We have to get people to buy more wool and consumers need to know what products to buy,” O’Sullivan says.

He adds that the pandemic has been “a problem like it is for everyone”.

With lockdowns and alert level changes cancelling events, some marketing has had to be put on hold.

O’Sullivan says the effects on exports is not as bad as it is for other sectors because wool does not have an expiry date the way that consumable products like milk and meat do.

“Over time, two years or so, the quality will decline slightly, however, supply chain issues have had an impact,” he says.

In the meantime, it’s a case of building up consumer demand in order to ensure the sector’s survival.

More like this

Wool in schools popular

A project that aims to educate Kiwi schoolchildren about wool will see the 25,000th student pass through its wool sheds this month.

Could be worse!

OPINION: Your canine crusader reckons that the people behind the Campaign for Wool are doing God's work in promoting the natural sheep fibre as sustainable, renewable and the next best thing since sliced bread.

Featured

Benefits of EU trade deal

The European Union Ambassador says the new free trade agreement (FTA) between the bloc and New Zealand will bring significant benefits to both parties.

Well said at the shed

Less Wellington bureucracy and more local, on-farm common sense was the focus of recent meetings held in South Canterbury as part of the Government's National Woolshed tour program.

State roadshow talking all things wool

'A lot of interest and positive responses' appears to be the way farmers are viewing the Government's initiative to hold a series of woolshed meetings around the country.

Council urged to delay rate hikes

A Southland farming leader wants the regional council to delay a proposed regional rates hike, much of which is intended to fund flood protection works.

Wool campaign making strides

A group set up to boost education and promotion of wool says it has made positive strides during the first year of its three-year strategy.

National

Meat co-op dilemma

Meat processor Alliance Group's cash-strapped farmer shareholders face a dilemma - either pour more money into the co-operative or risk…

Machinery & Products

Factory clocks up 60 years

There can't be many heavy metal fans who haven’t heard of Basildon, situated about 40km east of London and originally…

PM opens new Power Farming facility

Morrinsville based Power Farming Group has launched a flagship New Zealand facility in partnership with global construction manufacturer JCB Construction.

» Latest Print Issues Online

The Hound

No accountability!

OPINION: Readers of this column will know that your old mate has been a long-time critic of $55 million of…

Tough job

OPINION: The Hound reckons school teachers like nothing better than to complain constantly about how tough things are for them…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter