Wool Services International, involved in the exporting and scouring of wool, has criticized the approach of the carpet manufacturer Cavalier to purchase its scouring equipment.
The scouring assets are not meant for sale and it is an attempt by the subsidiary of Cavalier to create a market atmosphere of monopoly which is detrimental for the economy.
Wool Services International revealed that Cavalier wanted the company's support to apply to the Commerce Commission to purchase the scouring assets.
Cavalier's approach is chiefly aimed at undermining and disturbing a highly flourishing competitor. Any such attempt to create domination in wool scouring would affect the economy of New Zealand as well as its wool growers.
During the later part of 2010, wool prices registered a hike after the impact of the economic crisis was over. The Chinese production activity further strengthened the requirement for raw materials in anticipation that carpet manufacturers will be requiring more raw inputs to refill their stocks, this year.
Fibre2fashion News Desk - India