Wombat droppings used by an Australian paper manufacturer boost the economy

Here's the brightest story to emerge from the credit crunch, so far. Extraordinary as it may seem, wombat droppings – yes wombat droppings - are helping an industrial city in Australia fight the economic downturn.

Round upon round of job cuts have blighted the city of Burnie, in the north-west of the state of Tasmania. But one local industry is fighting back by producing handmade paper out of wombat poo.

Tourists have been keen to snap up the novelty paper as a unique souvenir of Australia – and the wombat, a furry marsupial which lives in the wild. Wombats' diets are loaded with plant fibre which make their faeces ideal for making the paper.

Manufacturer Creative Paper says it can be unpleasant – but for the delighted visitors, it's clearly worth it. All the paper is made from the dung of a single animal called Nugget.