Business: Shearing the Shackles

• Share

The carpet industry, said James D. Wise, president of Bigelow-Sanford Carpet Co., Inc., last week, "has been shackled to a sheep for too long." And the sheep has given the industry a rough ride; in six months carpet wool prices jumped from 85¢ a lb. to as high as $2.30. In an attempt to keep up with soaring raw-wool prices, U.S. manufacturers priced their carpets right out of the market. As sales dropped and inventories piled up, three big price cuts in carpets failed to pull the industry out of its worst slump in years; production was headed for a 20% fall. Last week Bigelow-Sanford, biggest U.S. carpetmaker, took a major step to free itself from wool.

In its spring line, more than 75% of Bigelow's carpets will use synthetics (carpet rayon), compared to only 27% a year ago. Other carpet companies, e.g., James Lees & Sons, are doing the same. To many a carpetmaker, the switch is the biggest single change in the industry since the invention of the carpet power loom more than 100 years ago.

This year consumption of carpet rayon will top 30 million lbs. v. 12.5 million in 1950. The synthetics, say carpetmakers, wear as well as wool, are easier to dye, and stay clean as long. They hope that the shift to synthetics will stabilize prices and put the harassed carpet industry back on its feet.