Fibre
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Fibre is a resource collected by using the scythe tool (or other methods) to cut down tall grass. All islands have grass, but the grass has different colors and appearances depending on the season and island biome type. Fibre is used in several crafting recipes and also to feed Spirits in your Spirit Barn so that they don't run away.
The in-game description of Fibre is "Tough plant material that can be woven into cloth."