STRONG wool producers in New Zealand have welcomed a government directive that woollen fibre products be used in new building constructions and refurbishments.

“From 1 July, government agencies will be directed to use woollen fibre products in the construction and refurbishment of government buildings, where practical and appropriate,” Economic Growth Minister Nicola Willis said.

The new procurement requirements will apply to the construction of government owned buildings that cost $9 million and more, and to refurbishments of $100,000 and more. The requirement will apply to about 130 agencies.

Ms Willis and Associate Agriculture Minister Mark Patterson said the government is backing New Zealand sheep farmers and the wool industry with a change to government procurement rules.

“The move delivers on a New Zealand First and National Party coalition agreement to preference the use of woollen fibres in government buildings.

“We’re showing our commitment to woollen fibres by leveraging government spending, to provide more targeted opportunities for wool producers,” she said.

“This will help to increase jobs, employment, and drive economic growth.

“The new requirement will encourage innovation in the building materials industry which will lead to more investment and new markets opening up.”

Woollen fibres have a wide range of uses in buildings including carpet, upholstery, insulation, and acoustic panels. The government said about 80 percent of sheep in New Zealand produce the strong wool suitable for use in building products.

Ms Willis said wool’s natural qualities allow it to dampen sound and absorb pollutants, and woollen fibres contribute to healthier indoor environments by naturally regulating humidity and improving air quality.

Mr Patterson said the new requirements go beyond procurement’s immediate aim of purchasing goods and services.

“They demonstrate the Government’s support for the wool industry and farmers by encouraging increased demand for woollen fibre products in government-owned buildings.

“We’re walking the talk,” he said.

“This move will hopefully inspire private businesses to follow suit.

“We are acting to get even greater value from our investments.”

Mr Patterson said the wool sector contributed $549 million to the New Zealand economy in the financial year ending 2024 from exporting processed and unprocessed wool products.

“Wool has been synonymous with New Zealand since the early settlers bought sheep here 200 years ago, and New Zealand remains the world’s third largest wool producer, after China and Australia and accounts for about 9 per cent of total world wool production.”

A wider review to improve the NZ government procurement rules is underway to remove red tape and promote responsible spending and competition.

Beef + Lamb NZ chair Kate Acland said the decision is great news for our sheep farmers, the many thousands of people who work in the wool industry from shearers to wool processors, and rural communities across the country.

“The decision demonstrates clear leadership from the Government in backing New Zealand’s world-leading farmers on the global stage.

“Creating demand for New Zealand wool supports farming families, strengthens rural economies, and helps build resilience across the sector,” she said.

“It’s also a reminder to global markets that New Zealand farmers are at the forefront of producing sustainable, high-quality wool.

“This decision will help reinvigorate the wool industry, which will benefit not just rural communities, but the New Zealand economy.”

Ms Acland said wool in public buildings will showcase to New Zealanders the many benefits of this natural high-performing fibre over synthetic alternatives.

Federated Farmers meat & wool chair, Toby Williams said the move was a clear vote of confidence in the future of New Zealand wool as a natural and sustainable product.

“It’s fantastic to see the government recognising so strongly the value of New Zealand-grown wool and backing the world-leading farmers who produce it.

“Our sheep farmers work incredibly hard to produce a high-quality, environmentally friendly, and sustainable fibre that is second to none globally,” Mr Williams said.

Wools of New Zealand chief executive officer John McWhirter said the “excellent decision” was a strong vote of confidence in New Zealand wool and the farmers who produce it.

“It’s encouraging to see the government recognising the superior qualities of wool flooring, which sets it apart from synthetic alternatives.

“Wool is a completely natural fibre — it’s safe for people with allergies and asthma, it offers exceptional fire resistance, and it provides natural warmth and comfort underfoot.”

Souce: Sheep Central