Complex sentence: Located in Biella (Piemonte, Italy) the water in the region is put to use to wash and treat the wool, which is imported principally from Australia and South Africa, so as to develop flannel, tweeds, cashmere, and butter muslin.
Split into simpler sentences: Located in Biella (Piemonte, Italy) the water in the region is put to use to wash and treat the wool. The latter is imported principally from Australia and South Africa, so as to develop flannel, tweeds, cashmere, and butter muslin.