NZ wool plans face criticism


30 January 2001



NZ wool plans face criticism

By FWi staff

PLANS for a New Zealand-based international wool company to sell carpet-style wools on the world market have come in for heavy criticism, reports the Financial Times.

Proposed changes to create StrongWools NZ were spurred by recommendations by management consultants McKinsey.

It recommended the New Zealand Wool Board should be wound up and some of its millions of dollars of reserves returned to farmers.

Opponents of the new scheme say the new company would require the cash to fund setting-up costs.

There are also concerns that livelihoods could be threatened by attempts to form companies to market wool overseas.

Critics include the International Wool Secretariat, export companies and users of the wool in Europe and elsewhere.

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