Woolpower, based in Östersund (northern Sweden), has secured a new contract with the German defence forces that could be worth up to SEK 250 million for the company. The deal comes as demand from defence forces and other professional customers continues to grow.
"We are seeing a clear increase from this type of customer. More and more armed forces are recognising garments developed for extreme requirements that also need to last over a long period," says Linus Flodin, CEO of Woolpower, in a press release seen by NDS.
According to Woolpower, around a third of the company's business comes from defence, police, emergency services and other public procurement contracts. The company states that several countries already purchase its products.
Woolpower manufactures base layers and reinforcement garments in merino wool and has its production based in Östersund. The company owns the factory and controls a large part of the chain from yarn to finished garment. A previous expansion doubled the factory's floor space.
"We have chosen to keep production and expertise in-house. For defence customers, it is also about knowing where the production is located and ensuring that deliveries can continue even if the security situation deteriorates," says Linus Flodin.
According to Woolpower, the growing demand and the new German contract mean that production capacity in Östersund will need to be further strengthened. The press release does not specify the contract's duration, delivery volumes, or which garments are covered.