Thursday, April 25, 2024

Cavalier gets $1.9m Govt boost

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Wool carpet company Cavalier Corp’s Bremworth carpets are one step away from being 100% natural, thanks to a $1.9 million grant from the Ministry for Primary Industries (MPI).
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On average, Bremworth’s 42-ounce wool carpet is made from 87% natural materials, according to general manager of sustainability Kirstine Hulse.

The key synthetic products are the latex binder and primary backing.

The grant will be used by Bremworth to help co-fund its $4.9m programme to research and develop natural and green chemistry-based alternatives to those remaining synthetic components.

“With the support of the Sustainable Food and Fibre Futures funding grant, Bremworth is seeking to create better and greener ways to manufacture wool carpet and an end product that is healthier for the planet,” Cavalier chief executive Paul Alston said.

“New Zealand wool is also 100% biodegradable, renewable and sustainable. That is why we have embarked on our journey to becoming a wool-only carpet and rug company, and we’re delighted the MPI is helping us to achieve our goals,” he added.

According to Agriculture Minister Damien O’Connor, consumers are increasingly considering the entire life cycle of products.

“We believe this programme will spur demand for NZ strong wool and enhance our manufacturing competitiveness through strong environmental credentials that challenge industry norms,” O’Connor said.

In July, Cavalier announced it was switching to an all wool and natural fibres business.

At the time, it said the financial benefits and a return to profitable growth would be felt from the 2023 financial year onwards, following an initial 12-to-24 months of investment.

The company reported a net profit of $4.3m in the six months to Dec 31, 2020, up $5.5m on the prior year as it benefited from higher wool carpet sales, the sell-down of its synthetic carpet stock and the gain from the Auckland property sale and leaseback.

BusinessDesk

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