August 31, 2007
August 31, 2007 - The Australian Merino Co. says there is up to a 25-percent premium for organic wool and that at least half of its retail customers are asking about organic wool.
The Merino Co. supplies certified and traceable organic wool from "sheep to shelf." The company's marketing manager, Mark Suttie, says the bigger issue of a sustainable or ecologically friendly fiber production also has a big future.
"There is absolutely no doubt these trends will net growers price premiums in the future," he said.
Suttie said linking woolgrowers and end users to negotiate long-term price contracts had many benefits for both parties.
"Growers have traditionally not seen past the broker and have produced certain quality wool for generations, in some cases, and have not known how their wool has been used," he said.
The company's model is very similar to that of the New Zealand Merino Co., where growers negotiate long-term price contracts with end users.
The Merino Co. currently has about 50,000 bales on its books across Tasmania, mainland Australia and South Africa.
"We would hope to double that the following season and double that again the year after," concluded Suttie. Reprinted in part from North Queensland Register, Australia