There is evidence that sheep were domesticated 9000-11000 years ago, but no evidence that they were used for wool until much later. The oldest woolen garments found are dated to only 4000-3000BCE. The oldest known European woolen fabric comes from a Danish bog and is dated to 1500BCE. In the Roman era, wool was used along with linen and leather. Cotton and silk were rare, coming from India and China, respectively.
We jump now to Northeastern France in the 1100s and the County of Champagne. In various towns in the region, annual fairs were held, lasting 2-3 weeks, where merchants gathered to buy and sell textiles, leather, furs, and spices. These "Champagne Fairs" created economic opportunity and growth and, in the case of wool, they connected the weavers of the Low Countries, such as Flanders, with Italians, who not only were skilled in dyeing cloth, but also had the merchant fleets to distribute products all around the Mediterranean. Wool cloth from Flanders could reach from Spain to Constantinople, from Majorca to Cyprus.
Wool was the economic engine of the Low Countries in the 13th century. Where did the raw wool come from that the Low Countries cleaned and carded and wove so well? England. Nothing benefitted the medieval English economy as much as the wool trade.
In fact, wool was so important to England that it had so-called "wool churches": a church financed by merchants who had become wealthy through the wool trade. Wool was so important that King Edward III in the 14th century instituted "The Woolsack," a large cushion of wool in the House of Lords upon which the presiding officer sat (at the time the Lord Chancellor, now the Lord Speaker).
More specifics of the wool trade in England tomorrow.