The price of cashmere is mainly determined by the domestic and foreign market demand, cashmere production cost, output and other factors.
Since 2013, the international cashmere market has continued lack of vitality, and the recovery of the cashmere trade has been slow. As a result, the cashmere industry's development rate in the past two years has slightly slowed down and has entered a bottleneck phase. At the same time, the degree of grassland desertification has intensified, and awareness and action of ecological environment protection have been enhanced. National and local governments have introduced policies such as returning farmland to forests, returning farmland to grassland, grazing bans, limited grazing, and immigration, which restricts the amount of cashmere goats to be raised, and therefore cashmere Goats can only be kept in captivity, which greatly increases the cost of farming. In terms of aquaculture costs, the total amount of dehaired cashmere is about 500 yuan/kg. With the continuous reduction of raw materials, the introduction of the national animal husbandry policy has restricted the amount of aquaculture. In addition, peasants and herdsmen are driven by economic benefits and spontaneously carry out adjustments to the herd structure. Sheep with high efficiency in transformation and quick gains lead to a reduction in the number of goats. In addition, farmers and herdsmen are unscientific in order to increase their yields. The improvement of livestock breeds has also made cashmere thicken year by year and its quality has declined.
On the other hand, at present, the production of the domestic wool textile industry is in a state of overcapacity. The pressure of market competition has increased, the vicious competition has continued, coupled with the lack of economic growth in the country, the difficulty in sales of enterprise products, the difficulty in capital repatriation, and the difficulty in corporate credit, which have seriously affected and restricted the production and development of enterprises. At the same time, the environmental standards for the production of wastewater are continuously increasing, the labor cost is increasing year by year, and the production costs are increasing rapidly.
From the perspective of domestic market demand, with the weakness of the international and domestic economies, the renminbi inflation trend is obvious, and the overall cost of living of residents is increasing rapidly. According to the survey, the proportion of per capita high-end clothing and clothing consumption is decreasing in living expenses. Wool products are still high-end products in natural fiber clothing. Under the current economic environment, the market for high-end wool products is shrinking, subject to the relationship between supply and demand. The decline in cashmere prices is inevitable.
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