The wool industry in New Zealand is gearing up for the long game as it actively builds international collaborations, and propelling this is a landmark decision by legislators mandating the use of Kiwi-grown and manufactured wool carpets in public sector buildings.
The policy, rolled out as part of a wider overhaul of government procurement rules, represents a significant shift toward supporting natural fibres and rural economies. While synthetic materials have dominated the market in recent years due to cost and convenience, the tide may now be turning in favour of wool—long regarded as a symbol of New Zealand’s pastoral heritage and a sustainable alternative in an increasingly eco-conscious world.
The directive, announced in early April 2024, will affect all future refurbishments and fit-outs of government buildings. From schools and hospitals to ministries and departmental offices, the floors of these spaces will now be covered with carpets made of New Zealand wool.
The change follows a growing recognition of wool’s environmental credentials, durability, and its potential to revitalise struggling sheep farms and wool processing units. The new rules apply to central government agencies, but local councils are also being encouraged to follow suit.
But this move is not just about economics or nostalgia. It’s about redefining how public infrastructure can become a tool for sustainable development. In doing so, the government has set the stage for a significant transformation—one that could re-establish wool as a cornerstone of New Zealand’s economy and environmental strategy.
The wool procurement shift is being lauded as both a climate-conscious and economy-boosting move. In addition to generating demand for wool products, the initiative is expected to inject new life into an industry that has been grappling with plummeting prices and declining farmer confidence.
From Fibre to Floor—How the Policy Came to Be
The announcement comes after years of lobbying by wool growers, processors, and rural advocates who have argued that New Zealand’s natural fibre is being unfairly sidelined by cheap synthetic alternatives. Despite its proud legacy and superior ecological profile, strong wool had seen declining demand, leading to warehouses full of unsold fleece and sheep farmers questioning their future.
According to The Post, the procurement mandate is a targeted response to this decline. “Let’s make wool great again,” said Agriculture Minister Todd McClay, borrowing a line from global populist rhetoric but applying it to a uniquely Kiwi cause. He described the decision as a “win-win” that would not only revitalise the wool sector but also help the government meet its environmental commitments.
The shift was formalised through new procurement rules, detailed in a Cabinet circular issued to all government agencies. The circular encourages agencies to prioritise New Zealand wool carpets in their purchasing decisions. While not strictly compulsory in every case, the rules include strong language that positions wool as the preferred option—particularly when it offers comparable value to synthetic products.
These rules are in line with the government's broader sustainability and climate goals. As reported by RNZ, the Cabinet agreed that the environmental benefits of wool—including its biodegradability, renewability, and low embodied carbon—justify its prioritisation. The rules also require agencies to provide justifications when they choose not to use wool, adding a layer of accountability that stakeholders believe will make a real difference.
The drive has been spearheaded by the Ministry for Primary Industries and supported by other arms of government, including the Ministry for the Environment and Ministry of Business, Innovation and Employment (MBIE). The cross-departmental support reflects a unified push for systemic change, not just token gestures. With government agencies purchasing over $51 billion in goods and services annually, the move could significantly influence market trends and product development in New Zealand.
