Challenge for wool

WELLINGTON - Mid-micron woolgrowers, about to be unceremoniously dumped back in the lap of the Wool Board, say they regard the transition as a challenge rather than a setback.

"It did come as a bit of a surprise," said their group chairman, Martin Paterson, of Matakanui Station, near Alexandra. "But we're looking at it as an opportunity."

For the next 12 months, over $1.4 million in levies from the mid-micron sector will be held in trust by the board and used to develop a business plan specifically for mid-micron wools, separate to the McKinsey review to be published late next month.

The McKinsey report is expected to query whether mid-micron wools are economically viable.

Wools of New Zealand will drop its promotions of mid-micron wool at the end of next month to concentrate on promoting strong wools sold for making carpets and rugs. Up to 1500 farmers will be directly affected by the dropping of the mid-micron contract.

The responsibility for promoting mid-micron wools will then lie with the board.

Mr Paterson said woolgrowers needed a "holistic" approach, good for the overall wool industry, rather than any sectional interest.

"Wool is at the crossroads, and we need less infighting and politics."

- NZPA