Kāinga Ora wool carpet contract a win for increased sustainability - Editorial

Kāinga Ora was 'pleasantly surprised' to receive bids from wool carpet manufacturers that were price-competitive with synthetic products. Photo / NZME

Editorial

• Kāinga Ora awarded a $2 million contract to Bremworth for wool carpets in state housing.
• The contract will use 95 tonnes of wool annually, benefiting the rural sector and farmers.
• Bremworth’s Whanganui factory will see increased production and retain its 24-hour shift structure.

The awarding of a contract to install wool carpets in Kāinga Ora homes will be welcome news for several sectors.

Kāinga Ora has confirmed a $2 million contract for the supply of wool carpet in some of its new state housing builds and renovations has gone to New Zealand-owned manufacturer Bremworth.

In March, as part of the National and NZ First coalition agreement, the Government issued a directive to 130 government agencies to buy woollen products for building construction and refurbishment “wherever practical and appropriate”.

Kāinga Ora chose to reopen an initially nylon-only carpet tender – which had outraged many farmers - and give wool a chance to compete.

Chief executive Matt Crockett says the agency was “pleasantly surprised” to receive new bids that were price-competitive.

As a result, wool carpet will be installed in about 900 planned state housing projects annually during the three-year contract.

Bremworth chief executive Craig Woolford says while the production will be a relatively small portion of the company’s total capacity, the decision has far-reaching implications for public sector procurement, the rural community and the broader property development industry.

Meeting the requirements of the contract will take about 95 tonnes of wool, from about 25,000 New Zealand sheep, annually.

That is a boost for the rural sector which has struggled in recent years, with low wool prices making sheep farming increasingly unprofitable.

There have been repeated complaints that the Government has not helped the sector by preferring synthetic fibres to New Zealand wool in carpets for Government buildings.

With Bremworth’s contract comes a win for provincial New Zealand, where manufacturing jobs are vital for communities.

The company operates plants in Whanganui and Napier, with both facing challenges in recent years.

The Napier plant was severely damaged in Cyclone Gabrielle in 2023. With its future uncertain, 130 staff were offered voluntary redundancy. In February – two years after the cyclone - a final insurance settlement of $104.2 million was confirmed, allowing the company to look to its future in Hawke’s Bay.

However, in March the company proposed a restructure, saying it needed “to ensure the company’s future stability and long-term growth” in the challenging and recessionary economic environment.

The proposal included cutting the night shift at the Whanganui plant - a stark contrast to 2023, when the company was looking to increase production in Whanganui by 30%.

Ultimately, following a consultation process, the night shift was kept but with fewer staff.

Woolford says the Kāinga Ora contract will mean extra work for the Whanganui factory with a boost in yarn production and the retention of the 24-hour shift structure.

As pushback against our throwaway society increases, it is encouraging to see a natural and more sustainable product being championed.

Wool’s natural properties include flame resistance, air purification capability, and thermal and acoustic insulation. It is hypoallergenic, easy to clean and biodegradable.

That’s good news for the environment and, not least, the people who are supported through Kāinga Ora.

The Government’s commitment to having wool carpets in its buildings – especially with it being demonstrated that the price can be competitive with synthetic products - may pave the way for an increasingly sustainable approach to our built environment.

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