A group of Australian schoolchildren discover a way to create rainbow-coloured goats for wool, hoping to make money for their clubhouse in the process.

A group of children in an Australian country town are trying to raise money to save their clubhouse. They make a batch of Christmas puddings to sell to passing motorists but they are a complete failure. Other children are bottling mineral water from a nearby mineral spring which all goes flat. This is poured out, along with the Christmas puddings, into a drain where their pet goat drinks the awful mixture. Shortly afterwards, the children notice that the normal white coat of their goat has changed into many colors. It is now, in fact, a rainbow colored goat, and the children realize that they have a major discovery on their hands. They could breed colored sheep! What a saving for the wool industry! And that's exactly what they set about doing, with hilarious results. A young Olivia Newton-John makes her film debut in this 1965 Australian musical comedy for the whole family!—Todd Smith