Another Scouting tradition...
As time goes by your child will accumulate badges from special events, previous sections, or even trade badges at Summer Camps and Jamborees. The campfire blanket is the traditional place to showcase a badge collection. They don't even have to be all scouting badges.
You can buy good quality second hand blankets from Trade Me, or sometimes from Op Shops, or obtain a new blanket (in grey, navy or khaki) from Scouting Direct. The campfire blanket should be made of wool as it less flammable than synthetic fabrics. Remember, the campfire blanket is used around a campfire!
Hopefully you have a handy Grandma to sew the badges on the blanket for you, otherwise you can use fabric glue or sew the badges to an old scout scarf and then sew the scarf to the blanket.