Wool co-op takes shape

A group trying for a strong, farmer-owned wool company is putting together detailed plans for a national cooperative.

But the deal would depend on a "substantial proportion of commercial woolgrowers committing their clip," said grower group representative Ed Kight.

The cooperative would buy wool from farmers and coordinate supply, in an ownership structure similar to meat export co-operatives.

Last year's $3 million McKinsey report on restructuring the wool industry recommended a grower-owned company to buy and sell strong wools.

But a Wool Board-led attempt to get it off the ground failed when Wrightson pulled out, although it continued with a separate joint venture in fine wools.

- NZPA