Geelong textile business takeover aims to secure wool manufacturing in Australia

One of Australia’s oldest and largest textile businesses has been snapped up in a deal that aims to identify opportunity for growth as well as building on already excellent manufacturing values.

Australian Textile Investments has purchased Geelong Textile Group, a Victoria-based wool textile manufacturing company.

Geelong Textile Group, which consists of Geelong Textiles Australia and Geelong Dyeing, has operated and specialised in Australian wool since 1920, creating quality upholstery and apparel fabrics for commercial and domestic use.

It sold in June after being placed on the market for the first time in 50 years.

Australian Textile Investments chair and NSW-based woolgrower Floyd Legge said the purchase of the textile business was a positive and strategic move into an associated industry.

“All of us have a passion for developing a uniquely Australian product and we believe that the Geelong Textile Group has capability to do so,” he said.

“My first introduction to the Geelong Textile Group occurred in 2019 when I needed some of our family-grown fine Merino wool woven and dyed to make fabric for the suits that my groomsmen and I wore for my wedding.

“It was a wonderful experience — taking a raw Australian product and turning it into a luxury fabric, right here in Australia.”

Mr Legge gained some practical experience in 2019 visiting China’s largest wool processing and manufacturing plants in a young woolgrower study tour by Australian Wool Innovation.

He said Australian Textile Group was committed to identifying opportunities for business expansion, building on the already excellent manufacturing values inherent in Geelong Textile Group.

“We knew at the time of purchase that we would need to relocate the weaving mill,” he said.

“Since then, we have secured the lease of a neighbouring property.

“This will allow for greater efficiencies and integration of the services we offer through Geelong Textiles Australia.”

He said Geelong Dyeing will remain in its current location for the foreseeable future.

Mr Legge says ATI purchased the textile businesses to secure wool manufacturing within Australia.

“Now is a great time to focus on the manufacturing of textiles in Australia,” he said.

“Major disruption has been inflicted on the global supply chain following COVID-19 and the war in Ukraine, with freight costs increasing by 1000 per cent and delays of up to six months becoming the new normal.”

Mr Legge aims to offer customers a better experience, quality products, shorter manufacturing timeframes, delivery on time and less volatility.

“We are committed and well positioned to expand on the future of wool textile manufacturing within Australia,” he said.

“We produce fabrics using 100 per cent Australian wool, wool blends and alternative fibres.

“We specialise in design, commission dobby or jacquard weaving of durable, certified, and tested domestic or commercial fabrics for school or corporate apparel, furnishing for public spaces, auditoriums, transport, and screens.”

He said batch sizes start at 240m for the weaving mill and 50m at the dye house, whereas a minimum order from overseas suppliers would be 1000m.

“We have woollen upholstery fabrics and a home textiles range, including blankets, tea towels under the brand of Geelong Weaving Mill. This represents a growth market for the company,” Mr Legge said.

“In addition, Geelong Dyeing has also developed a stock service, producing machine knitting yarn and wool tops, which are available in stock and custom colours.

“We intend to continue this tradition of innovation and market development in our plans for the company.”