With several fleece to floor initiatives on the go, NZ Yarn, alongside Carrfields Primary Wool (CP Wool), has contracted $10 million of wool from New Zealand growers in the past three years with new hemp and wool hybrid products set to realise new opportunities.
CP Wool, representing 3500 sheep farmers around NZ, is the exclusive supplier of wool to NZ Yarn that spins yarn for use in the soft flooring industry globally.
Group chief executive of NZ Yarn and CP Wool Colin McKenzie says NZ Yarn contracts are for the direct supply of good-coloured shears and have generally been at a significant premium over the spot market, especially lots with little or no vegetable matter contamination.
Customers include soft flooring manufacturers around the world who sell products at the very top end of the market via architects and interior designers.
“We supply our yarn to carpet and rug makers who have connections into custom design for corporate and luxury residential markets and increasingly private aviation and luxury yachts,” he said.
“This means NZ wool can end up in some very high profile places.
“It’s a fantastic way to showcase the quality, beauty and versatility of NZ wool to a global audience.
“We are providing innovative yarn systems that showcase the unique characteristics of wool that designers and customers love and that our competitors find difficult, if not impossible, to replicate.
“Our whole product innovation strategy is to purposely step off the commodity curve, to become global leaders in leading-edge woollen yarn systems for carpets and rugs.”
McKenzie says this strategy has resulted in products that stand apart from the rest and which leverage the opportunity that exists to increase the size of the market for wool carpet among corporate and private consumers globally.
NZ Yarn boasts an impressive list of installations and applications.
Emirates first class cabins, Air Force One, NetJet and Gulfstream private jets are among the list of NZ Yarn’s aviation installations. Its New York corporate headquarters carpet installations include Wells Fargo, American Express, JP Morgan Chase and Time Warner head offices. And The London Stock Exchange’s New York outpost and the Tom Ford retail store in Milan are also among the list of global corporate installations.
“These strategies have resulted in products that stand apart from the rest, and which leverage the tremendous opportunity which exists to increase the size of the market for wool carpet among corporate and private consumers globally, particularly in the US,” McKenzie said.
Meanwhile in a grassroots initiative, NZ sheep farmers are taking the opportunity to carpet their homes from wool grown on their own farms.
“We are getting increasing enquiry from CP Wool clients wanting to make their own carpet from their own wool,” he said.
“We are being contacted weekly by clients taking the initiative to make their own carpet and we are in a unique position to provide a custom service and manufacture yarn and carpet virtually any colour and any style imaginable from their homegrown wool fibre.
Farmers supply the greasy shears to specification and NZ Yarn manages the whole process, including shade matching, yarn construction and carpet style.
“We have completed two custom carpet projects for sheep farmer clients and have another three on the books at present,” McKenzie said.
“We think we are probably one of only a few companies on the planet able to offer an end to end bespoke custom carpet service for individual farmers to make their own carpet from their own wool.”
Carrfields Primary Wool became involved in the NZ Yarn business in 2014 and with 50 farmer investors took a long-term view to re-engineer the cost base and reinvent the model by expanding and differentiating the product portfolio and developing new channels to market and international customers.
“The hard yards have been done and the business has turned the corner, it certainly hasn’t happened by accident.
“NZ Yarn is an exciting business model for the future and has great growth potential with new hemp and wool hybrid products in development and due for release this year,” McKenzie said.
