A wool industry representative says job losses and production cutbacks in New Zealand carpet plants are an unfortunate part of the global cycle that has sent wool prices soaring.
But in the long run, says National Council of Wool Interests chairman Stephen Fookes, the country will benefit from the rise in world demand that has caused the price surge.
A union representing textile workers, the First Union, says the doubling of wool prices in the past year has cost more than 40 jobs in New Zealand carpet and yarn mills. It also links the cuts to a slump in building construction.
Mr Fookes says the rise in prices means wool products can't compete with synthetics in the high-volume, lower-value end of the market.
He says breaking wool out of that and positioning it at the top end of the market will be difficult but that's what the industry is trying to do.
Mr Fookes says it's difficult moving any product from one level to another, but people will adjust to looking at quality not just price.