A new fibre manufacturing facility set to open in Victoria in April will allow an Australian packaging company to begin making pure wool building insulation.
Planet Protector Packaging has been using crossbred wool to make insulated packaging as a sustainable alternative to polystyrene but will diversify once the facility is up and running.
The facility, which has received investment from the likes of billionaire Andrew Forrest, Reserve Bank of Australia board member Carol Schwartz and the Victorian government will use airlay technology for fibre manufacturing.
Beyond wool the equipment is capable of processing other fibres, including hemp.
The company currently has a workforce of 30 people but plans to double that over the next 12 to 18 months.
Planet Protector Packaging CEO Joanne Howarth said they hoped the site would be fully commissioned by April 1, with plans to offer contract manufacturing in addition to their own production.
"This production line is the only one of its kind in the Southern Hemisphere, it has capacity to produce up to 150 tonnes of fibre every week," she said.
"It's going to enable us to expand beyond packaging into all these other new sectors.
"In the building insulation space there's Greenwool and Earthwool and Rockwool and they're made out of everything except wool, they're made out fibreglass and broken glass and rocks that are shaved down and they have been used for as long as we can remember.
"But with new housing standards, there's very much a focus on insulation and the performance of the insulation.
"Wool is the best natural insulator on the planet so if we come and insulate your house, because it's got improved performance, you're going to require less energy consumption."
The facility was initally slated to open in Geelong, but Ms Howarth said being unable to find a suitable site led them to pivot and secure 7000 square metre site in Altona North.
The company will start running a single shift at the facility, with plans to work up to operating 24/7.
Ms Howarth said Planet Protector receives plenty of interest from sheep producers eager to supply their wool to the company.
'We've got a list of more than 200 sheep farmers... this wool is either sent off to landfill or there are other people who are just storing it in the hopes of one day getting a price that justifies selling it," she said.
Planet Protector is also looking to expand its business into India, working with CSIRO and Austrade, Ms Howarth said.
"When you look at the opportunities for us, they are in South East Asia," she said.
"Australia and New Zealand together are just 1.3 per cent of the global market.
"When you start talking about India, the numbers are mind boggling.
"India manufactures 60pc of global pharmaceuticals so the potential is just enormous.
"For 70 years the pharmaceutical market has used polystyrene so now with ESG and all the focus on reporting, businesses are needing to reduce their emissions and they need to be looking at their supply chains, so a lot of businesses are ditching polystyrene now and moving into more sustainable packaging solutions."