July – August 2019



After a crazy collecting period during the last 2 to 3 months, the traders now have enough stock. At the same time, demand is still not good. The price of cashmere is 10% less than July 2018. Compared with prices in June, the situation is basically unchanged. For finer cashmere types, the price is still on the high level because of limited availability. The prices for low and medium qualities should come down shortly. Recently the RMB has been getting weaker, due to the trade war between China and the US. This is offsetting some increase in prices.


Mongolia is still the second-largest producer of cashmere in the world with 10.000 tons of greasy cashmere.
From 2015 to 2019 the cashmere production was constant and almost 90% of whole cashmere production is exported to foreign countries (89% exported to China and 11% to European countries).
Main importers in the EU are Italy, the UK, Germany. However, globally the main players are always Chinese buyers.
In the first 7 months of 2019, almost 75% of cashmere was exported. Compared to July 2018 the exported quantity of cashmere has increased by 5.2%.
The cashmere price has been stable over the first five months of the season and now it is expected to follow the EU/Chinese market trend for the next months.


News of a poor international market and low prices of Mongolian stock in Europe has reached the Middle East and has at least halted the price hike. Although no Chinese buyers are present in the market now, the market is still stable and no trader is willing to reduce its prices and sell with a loss, hoping that prices will strengthen again after the European summer has ended.