Sky home fabric prices have risen an impressive 22 per “ninth” per cent in just a few weeks, with the biggest jump coming in the $100-$150 range.
The rise in prices is in stark contrast to the same period last year when the price of a kilogram of fabric had risen by just 0.7 per cent.
The price of fibre has also jumped a whopping 24.7.
per cent from last year, while the price per kilogram is now just over $1,000.
“It’s a very good start to the year for us,” said Sky Home Fibre chief executive Chris Kavanagh.
Sky Home Fibres’ CEO Chris Kavagh said the increase in prices was a sign that the Australian market was finally getting its bearings.
“In recent years the market has been growing in a very cyclical way, but it is starting to take a more sustainable and predictable path, with a higher rate of growth in the residential market,” Mr Kavagh said.
Mr Kavanah said Sky’s Fibre network had a lot of capacity and fibre was the cheapest form of cable, but he was hopeful the fibre boom would continue.
“We see that the market is now growing in both directions,” he said.
“The fibre industry is going to see a bigger boost than we anticipated, and there is a lot more competition than we expected.”
The average price of an item purchased on the Australian marketplace is now around $1.10, down 2.5 per cent year-on-year.
The biggest increase in price comes in the price to sell fabric, with fabric prices rising by 10 per cent to $1 a kilo, or $200.
Fabric has now gone from a mere $50 to a whopping $1k, according to the Australian Bureau of Statistics.
“For people looking to buy a kilos of fabric for their own home, there is no better time than now,” Mr Kapoor said.
Mr Kavakah said the market was currently at an inflection point and he was confident the fibre industry would continue to boom.
“It is going into its third year and is a very healthy time for fibre in Australia,” he explained.
“Fibre is going from being a niche fibre, which was a small sector of the fibre market in Australia, to being a global fibre market, with major players such as Verizon and Telstra now owning fibre.”
Fibers have been struggling to compete with fibre from overseas, but Mr Kapurah said he believed fibre could now be a big factor in the future.
“What is happening with fibre in the home is the internet of things is coming into the home, and fibre is part of the IoT, so fibre is going through this same phase where you have a whole network of things that you can connect to,” he added.
“This will be the future of the home and this is why we are investing so much into the fibre.