Wool Farms

Wool Farms are slightly modified on Vanilla+ due to entity collisions being altered.

Due to this, designs like Ianxofours "cheap sheep wool farm" do not work.

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Automatic Wool Farm

Tutorial by Shulkercraft

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String Based Wool Farm

If you already have a Bartering Farm, you can craft the string it produces into wool.

Alternatively, you can turn a spider or cave spider spawner into a string farm.

Tutorial by Voltrox

With this farm, you would craft the string into wool.