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Government backs wool in construction

by | Apr 17, 2025

From 1 July 2025, government building and civil projects will need to use wool products, such as insulation, carpet, acoustic panels and landscaping textiles. That means any new government project over $9 million, or refurbishment over $100,000, will need to consider wool. If they don’t use it, they’ll need to explain why.

It’s a big deal for our local wool industry – and great news for anyone who wants to see more local materials in our buildings. At Terra Lana, we’ve already made big inroads to get more insulation into commercial buildings. We have a specification and sales support team and nationwide installation partners ready to go.

Why the move?

The government’s decision to prioritise wool in public buildings and civil projects – a directive across all 130+ agencies – is about more than just supporting local industry. It’s about backing a material that’s safe, sustainable and proven to perform. Wool is naturally moisture-regulating and durable, with benefits that support healthier, longer-lasting buildings. These qualities make it an ideal fit for public buildings where occupant wellbeing and longevity should be prioritised.

It’s also a vote of confidence in New Zealand’s rural sector. By directing agencies to use wool, the government is helping to create stable demand for strong wool – a fibre with deep roots in Aotearoa’s identity. This move supports our farmers, strengthens regional economies, and reinforces New Zealand’s reputation as a global leader in natural, sustainable materials.

Industry response

As reported in Farmers Weekly, Federated Farmers meat and wool chair Toby Williams described the move as ‘a clear vote of confidence in the future of New Zealand wool as a natural and sustainable product.’ John McWhirter, Chief Executive of Wools of New Zealand, echoed that sentiment, saying the policy ‘reinforces New Zealand’s global reputation as a leader in natural, sustainable fibre production.’

Kara Biggs, General Manager of Campaign for Wool NZ, addressed the policy’s phrasing in an interview with Rural Exchange – ‘where practical and appropriate’ – by emphasising that this isn’t just about upfront costs, but long-term value. ‘Wool stacks up,’ she said. ‘It’s a value conversation now; it’s not a cost conversation.’

How we can help

We’ve been doing this for a while – since 1999, in fact – and we’ve got the products, documentation and know-how to make it easy for you.

Compliance-ready: Our acoustic and thermal insulation products meet building code requirements and are suitable for both new builds and refurbishments.

Sustainability credentials: Our products are Eco Choice Aotearoa certified and Declare labelled, contributing to Green Star and other certification goals.

Waste-free installs: With an in-house recycling process, we offer a complimentary take-back process for all offcuts post installation – helping reduce environmental impact and simplifying clean-up.

Proven track record: Our Terra Lana wool insulation and landscaping textiles, such as DagMat, are all proven products in Aotearoa. See our recent case studies.

Talk to our team

If you’d like to talk through your next project, contact Brad, our specification manager. You can reach him at brad.s@terralana.co.nz.

Sales & Specifications

Contact our team to find out which Terra Lana product is right for your project.