EXCLUSIVE: AUSTRALIA'S wool industry is in turmoil, with a split emerging in the commodity's governing body.
The split threatens to derail vital marketing strategies on which growers were pinning wool's revival.
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It can be revealed that the previously tight-knit group of seven directors, elected to the Australian Wool Innovation board to oppose the controversial mulesing deadline, have fallen out over marketing.
The futures of AWI chief executive Brenda McGahan and chairman Wal Merriman are believed to be under threat, with influential board member, UK wool processor Laurence Modiano garnering the support of controversial board members Chick Olsson and Dr Meredith Sheil to push for generic marketing of wool.
Mr Merriman, Ms McGahan and a majority of the eight-member board support a marketing strategy aimed at individual brands and retailers.
The split emerged as the board attempted to finalise its next phase of marketing.
Rumblings over board unity began in September last year when Mr Modiano criticised AWI's marketing tactics.
He claimed AWI's approach was failing and called for a return to a generic program that promoted the benefits of wool, rather than a specific apparel or product.
"Throwing money at retailers is just no good," Mr Modiano told growers in Geelong at the time.
Mr Merriman this week confirmed there were disagreements within the board and that directors had expressed differing opinions.
"But everyone is entitled to their opinion and I won't be gagging any of the directors," Mr Merriman said.
The split is the first for the seven directors who were previously united in their opposition to the December 2010 mulesing deadline.
The disunity comes at a critical time for AWI, as many global apparel retailers and brands are expecting Australia to adhere to the mulesing deadline.
Mr Merriman said the wool-marketing plan must be presented to Agriculture Minister Tony Burke before June 30.
Mr Merriman said further "workshops" would be held prior to forthcoming board meetings.
He said that these workshops would include the views of staff who he said were "at least working at the coalface" of wool.
In the meantime, Mr Merriman confirmed the current marketing focus on individual brands and retailers, which was approved by the board last year, would continue.
"We have found these programs have been successful in Japan and the results can be measured," he said.
Mr Olsson, who this week was leading an AWI delegation in Japan, said there was a lot of merit in what Mr Modiano was proposing.
But he said it was matter of finding the funds.
And while Mr Olsson favoured a program that promoted the benefits of wool, he said "the days of putting up a billboard and saying that wool was good are over".
