The country was a wilderness of tussock and flax 

The industry has had a turbulent history. It was first considered in 1936 as a potential new export sector, and while an experimental factory was planned before the war, the industry truly took off in 1940-41 in response to Britain’s urgent need for linen fibre during wartime. By the war’s end, several linen flax factories were operating in the South Island under government control. However, by 1954, only the Geraldine factory remained. Despite its national importance, it struggled to gain sufficient farmer support and consistently reported financial losses. These ranged from $20,000 to $33,000 annually, with a brief profit of $1,571 in 1974, followed by losses of $61,709 in 1975 and over $90,000 in 1976.

Despite its financial challenges, the industry played a vital role in the Geraldine community, providing steady employment and injecting over $150,000 annually into the local economy through wages and other expenditures. From a regional development perspective, it was an existing enterprise worth preserving—especially if it could be made economically viable. That this goal now appears within reach, as assured by Mr. Spence, is a testament to the skill and dedication of the factory’s directors and a positive development for the community.

- Editorial: Brighter outlook for linen flax industry (25 Jan 1978). Aoraki Heritage Collection, accessed 05/03/2025, https://aorakiheritage.recollect.co.nz/nodes/view/7397