Wools of New Zealand has signed up to a brand use agreement with leading Chinese manufacturer Yangxin Ruixin.
The agreement will enable Yangxin Ruixin to use the WoolsNZ logo on products that contain at least 60% WoolsNZ-supplied fibre.
WoolsNZ chief executive John McWhirter said connecting the NZ wool story through brand alliance will expand the reach to international consumers and help protect the NZ wool brand.
WoolsNZ already has an extensive trade partner network internationally, but this is the first arrangement the farmer-owned company has entered into with a Chinese manufacturer to produce branded products.
The agreement was signed by McWhirter and Jimmy Huang of Yangxin Ruixin in Christchurch.
“We already work with a NZ exporter to China and supply a yarn spinner who sells our farmers’ product into a range of companies in the Chinese market,” McWhirter said.
“However, this is our first agreement with a Chinese company producing branded products.
“Yangxin Ruixin will be able to use the WoolsNZ logo on their products that contain at least 60% WoolsNZ-supplied fibre.
“This is adding to the growing list of our partners taking the NZ wool story to international consumers.”
Yangxin Ruixin and the Chinese Embassy approached WoolsNZ to discuss establishing the branding agreement when Huang was in NZ as part of a visiting Chinese delegation. Established in 1998, the Shandong-based Chinese company sells its products under the Silktouch brand in China while exporting under the Ruixin brand.
It produces a range of carpets and rugs for the commercial, hospitality and residential markets and, with 3000 employees, operates the largest hand-tufted factory in China.
McWhirter said an advantage of the agreement is the ability of Yangxin Ruixin to monitor any Chinese manufacturers falsely claiming to be using Wools of NZ wool.
“Counterfeit wool claiming to be NZ wool does get sold.
“We have taken action in the past against companies using our logo without permission. “However, it is hard for us to police that in China, so it is very good to have a partner and eyes in the market there.
“Working with Yangxin Ruixin means they have a brand-authenticated product and an interest in protecting the brand,” McWhirter said.
