THE future of Australian Wool Innovation is at stake as wool growers prepare to vote at next week's board election.

A change in the control of the AWI board is tipped to result in a purge of senior staff and programs.

And the viability of AWI itself will be in serious doubt if growers opt to cut the 2 per cent levy rate at next year's WoolPoll

West Australian AWI director Dr Kevin Bell said a victory for the challengers seeking election to the AWI board was likely to trigger a purge of senior staff loyal to the current board and major changes and delays to AWI's marketing plans.

WoolProducers president Don Hamblin said the intensity of the election fight would affect next year's WoolPoll, where many growers will likely opt to reduce the 2 per cent levy.

Martin Oppenheimer, chairman of Australian Wool Growers Association, which is backing the challenge ticket, said AWI wouldn't have a future if it didn't become more responsive to the needs of the levypayers.

He said AWI had too many programs. "It needs to be leaner with fewer but much bigger projects and fewer staff," he said.

Next week in Perth, 30,000 wool producer levy payers will be asked to vote on five vacancies on the nine-member board.

Five incumbent directors, headed by its AWI chairman Brian van Rooyen are being challenged by five candidates, headed by London-based wool processor and exporter, Laurence Modiano.

AWGA, which is backing the challengers, needs to win two of the five seats for a change in board control.

But while the challengers have won much support on the issue of re-negotiating the 2010 end surgical mulesing, several candidates, including Mr Modiano, want also to reconsider AWI's three-year, $120 million wool marketing program.

Mr Modiano is advocating spending money in colder and more affluent markets of the northern hemisphere.

Mr Hamblin said any delays to the marketing program, which was launched in August, would be "money down the gurgler".

"We've spent two years putting this program together and to not go ahead in the current economic climate with it would be a gross waste of levy funds," he said.

But not all of the challengers agree on how AWI should spend its promotion dollars.

Queensland candidate and president of the Australian Association of Stud Merino Breeders, Will Roberts, conceded he was no marketing expert but doubted whether Mr Modiano would get control of promotion.

"He needs us more than we need him," Mr Roberts said.

Mr Roberts, like the other four challengers, is confident overseas retailers could be convinced to soften their stance on the 2010 mulesing deadline.

"There is a saying you can sell ice to Eskimos," Mr Roberts said. "You just need the right people to talk to them."

But both Mr Hamblin and Mr van Rooyen doubt retailers will change their stance.

"You don't think a major retailer for whom wool accounts for 1 to 2 per cent of their range will risk their brands for the sake of PETA," Mr van Rooyen said.

Mr Hamblin said the downturn in the global economy would also make it increasingly difficult for retailers to change their minds.

"It will be very easy now for a retailer to maintain an ethical stance (against mulesing), particularly when you don't have any orders," Mr Hamblin said.

This year's election has been one of the most torrid since AWI was formed in 2001.

Much of the campaigning has been conducted by fax.

Last week, former AWI chairman Ian McLachlan joined the faxing foray to correct what he claimed were untruths.

"The worst of these untruths is that AWI made the decision to phase-out mulesing by 2010," he said.

"The decision was made by leaders representing the whole of the Australian wool industry.

"It would have been inappropriate for AWI to make such a decision."

And in supporting the re-election of the five incumbents, Mr McLachlan took a swipe at AWI director Roger Fletcher, a possibility for the chairmanship, and Laurence Modiano.

He said Mr Fletcher, a sheep and wool processor, was "too busy for the job and had always been against live exports and was against paying any levy on his fell-mongered wool".

Mr McLachlan referred to Mr Modiano as "a major wool processor whose job it is to buy wool as cheaply as possible and recently he has been very successful at doing just that".

The poll will be decided at AWI's annual meeting in Perth next Wednesday.

The deadline for those wishing to vote by proxy is Monday 4pm (ESDT).

AWI company secretary Sally Palmer said after voting, shareholders could still change their votes, by mail or visiting www.linkmarketservices.com.au