economy
After decades of decline, New Zealand’s wool industry is making a comeback
Forty years ago there were more than 22 sheep to every New Zealander, but wool prices and production declined with the uptake of synthetic alternatives
TL;DR
- New Zealand's sheep population has significantly decreased from a peak of over 70 million in the 1980s to just over 23 million currently.
- The decline was driven by economic policies, falling wool prices, and the rise of synthetic alternatives.
- Increased global demand for natural fibers, spurred by rising oil prices affecting synthetic fabric production costs, is boosting the wool industry.
- Major brands like Chanel and Patagonia are showing interest in New Zealand wool, with some forming investment or partnership deals.
- Wool prices at recent auctions have reached their highest point in 15 years, indicating a potential market recovery.
- While there was a slight dip in prices at the most recent auction, optimism remains for the long-term prospects of the industry.
- Global awareness of sustainability and the attributes of wool, along with a trade deal with India, are contributing to a positive outlook.