Few could argue against the government aspiration of New Zealand being predator-free by 2050, but for a specialist yarn manufacturer the policy created a few ruffles.
Woolyarns makes specialty machine-knit, hand-knit and weaving yarn and, since the early 2000s, possum fibre has been a staple for its Perino yarns that also use Merino wool and silk fibres.
Woolyarns manager Andy May said in 1999 the company produced about 2000kg of Perino yarns a year, but today it’s over 120,000kg.
The possum fibre industry contributes about $150m a year to the NZ economy through retail sales, he said.
The company has pioneered technology that enables it to produce a range of possum and wool yarn blends, but the risk of NZ becoming predator-free or the possum population being significantly reduced, prompted a look for alternative fibres.
It identified cashmere, most of which currently comes from China, Mongolia, Iran and Afghanistan.
May believes NZ has an opportunity to increase its cashmere fibre production, which he said the market wants because of the country’s farming capability and integrity.
In addition to the goats controlling weeds and improving pasture, he said cashmere fibre can provide an extra source of income for sheep and beef farmers without compromising stock numbers.
Cashmere is a $4 billion global industry with an estimated 3 million kilogrammes of the fibre used in textiles each year. One Scottish mill alone uses 400,000kg a year.
May, who is based at Woolyarns’ Lower Hutt factory and is also the executive director of the wholly owned subsidiary NZ Cashmere, said high-end global fashion manufacturers have told him they want alternative and reliable sources of cashmere.
They also want farming practices that meet their sustainability, production and animal welfare standards, benchmarks he said NZ farmers already largely meet.
He has met with owners of some of the world’s leading brands, such Hermès, Gucci, Givenchy, and Johnstons of Elgin.
In many cases the usual 30-minute sales meeting lasted several hours as he was quizzed on NZ’s ability to produce cashmere fibre to their requirements, such is the importance they place on finding alternative sources of fibre.
Discussions ended with the question “When can NZ start supplying significant volumes of cashmere?”
The answer, according to May, is ‘Not yet’, as Woolyarns has insufficient volume, but it is working to grow supply.
NZ currently farms about 8000 cashmere goats with many farmers in the expansion phase and working to improve the quality of their fibre.
Their target is to clip 250-350 grams of cashmere per animal.
Fibre prices are currently $110 to $150/kg depending on micron, which ranges from 14.5 to 18.
May believes by 2030 NZ could have 50,000 cashmere goats but that would still only provide less than 15,000kg of cashmere.
“We’re not going to take over the world here but we will win in the end because we have got all those supporting qualities and accreditation that high-end brands want.”
Possum fibre is still a key product for Woolyarns, which has invested in the supply chain to ensure a source of product and to ensure trappers follow best practice.
It is a key investment to ensure supply and quality standards, he said.
Similarly, Woolyarns is working with cashmere goat farmers to build partnerships.
“We have a history of investing back in the supply chain because we know what brands want.”
About five years ago South Otago farmer and cashmere goat enthusiast David Shaw began to scale up the sector, citing benefits in weed control and unsatisfied markets for the fibre.
There was a brief, albeit uncoordinated, spike in interest in the sector in the 1980s and 1990s when farmed goat numbers reached an estimated 1 million.
A lack of structure and mixed quality meant it became unviable and it effectively morphed into a cottage industry.
In 2021 Shaw and Woolyarns launched NZ Cashmere, an entity Woolyarns subsequently bought outright.
It has since invested in growing the industry behind the farm gate, and spent $3 million on bespoke machinery that cleans the fibre and removes the guard hair ahead of processing.
“Having that machinery here is a massive investment and really I think is the key to the whole industry outside what is happening on the farm,” he said.
With assistance from the government’s Sustainable Farming Fund, it invested $900,000 over three years in understanding and promoting how to farm goats and how they fit into an existing livestock farming systems, as well as providing information and advice for those wanting to farm them.
The brief explosion of interest in the cashmere fibre in the 1980s was also driven by the notion that you manage goats like sheep, which May said is something to avoid.
Research commissioned by NZ Cashmere shows that given access to unimproved areas infested with weeds, a 3000 stock unit farm can run 300 goats alongside existing stock numbers.
Goats eat 15 more plant species than sheep and May said studies show they can use up to 25% of hill country forage that would normally go to waste.
Goats are happy to live on weeds and research shows when they have access to clover, it provides less than 2% of their diet.
Farmers are increasingly using them to control weeds such as gorse, blackberry and thistles and to tidy lamb finishing feed, which reduces the cost of chemicals, labour and fuel.
They tend to eat from the chest up and the head down, leaving better quality feed untouched.
Farmers – some very sceptical – have told May that goats have transformed areas that were previously impenetrable due to weeds or that they have improved the quality of lamb and cattle finishing pasture, while also generating extra income.
A mated doe costs about $120 and traits such as fibre colour, weight, diameter and down length are highly heritable.
May said Shaw’s long-term commitment to the sector ensures there are high-quality genetics available.
The one issue prospective farmers will have address is containment, but May said trial and error shows the animals quickly learn to respect electric shocks so an electric fence will often suffice.
Select meat companies are already processing goat meat and say they could handle more should numbers increase.
It is the complementary role of goats on farms that most excites May.
“To see what they can do, helping farmers to save costs and provide an extra source of revenue, excites me more than the fibre, because I know that in end we will get this beautiful fibre.
“The demand is there. If we had 50,000kg of cashmere tomorrow, we could sell it all.”
