Wool Wholesaling in New Zealand - Industry Market Research Report

Wool Wholesaling in New Zealand - Industry Market Research Report
Wool Wholesaling in New Zealand

The domestic price of wool, the level of wool production and demand from export markets drive volatility in wool wholesalers' revenue. Domestic wool prices have fallen in recent years, posing significant challenges for wholesalers. Additionally, the domestic production of wool is falling, limiting wholesalers' ability to maintain sufficient economies of scale. The COVID-19 pandemic has also induced volatility in wool wholesalers' revenue. Strict restrictions on manufacturing in China – the major export market for New Zealand wool – weighed heavily on wholesalers' sales to Chinese apparel manufacturers. The pandemic also led to a substantial fall in tourists who are key buyers of high-quality wool products. The easing of restrictions on global manufacturing and tourist numbers is helping sales to recover from the slump during the initial outbreak. Over the five years through 2021-22, wool wholesalers' revenue is forecast to fall at a compound annual rate of 10.4% to $680 million, despite an expected rise of 5.9% in 2021-22 driven by recovering domestic wool prices.

Operators in the industry primarily wholesale wool.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.