Breakthrough Deal Heralds New Era for Strong Wool

  • Hon Mark Patterson

The Government is marking a significant commercial milestone, with New Zealand's strong wool sector securing its first export order for innovative wool particle technology. Rural Communities Minister Mark Patterson describes this as "the Holy Grail" for the sector.

The Wool Research Organisation of New Zealand's (WRONZ) commercial development company Wool Source has secured its first commercial export order for its innovative wool particle products.

"Wool Source has signed a deal with a Japanese company operating in the personal care market for 8 tonnes of its unique wool particle products," Mr Patterson says.

"This sale marks a milestone in the Government's ongoing investment to find innovative new uses for New Zealand's strong wool something we've long considered will boost returns to sheep farmers."

Mr Patterson congratulated WRONZ and Wool Source during a visit to their Christchurch facility today.

"This export shipment is the direct result of significant investment by the Ministry for Primary Industries (MPI) to help drive the development of new high-value wool products," Mr Patterson says.

"MPI co-funded a $8.72 million four-and-a-half-year programme which concludes this month with WRONZ to find new uses for strong wool. MPI has contributed $3.48 million.

"It has focused on taking new high-value products from lab-scale to pilot-scale production and to engage with potential markets and customers.

"This has included powders and pigments to be used for cosmetics, paints, and inks.

"This contract is a taste of the opportunities that exist as we reimagine an exciting future for New Zealand wool sector and boost farm-gate returns for the country's sheep farmers.

"We are leading by example. We've directed agencies to use woollen products in its buildings where appropriate, and from 1 July 2025, Kāinga Ora has transitioned to using wool carpets in the fit-out of new state houses."

Wool exports were worth $555 million in the year to June 2025.

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