2021 has been a tough year for all industries. For cashmere industry, COVID-19 has affected all cashmere industry from manufacture to delivery. On the other hand, the government restriction rule for COVID-19 caused the factories shut down and affect output. Many cashmere orders were cancelled and transferred.
YEAR BEGINNING MARKET REPORT 2021
the price of cashmere is extremely high even from the raw material stage. Buyers from dehairing factories are scrambling to buy raw materials. The reason is there is a huge shortage of raw materials. Herders are also selling their materials immediately after shearing. The trading speed is fast, especially for top-quality materials from good production areas with good fineness. Indeed, many businesses believe it is necessary to purchase the raw materials as much as they could. This is because the market price of cashmere is continuing rising without dropping. However, this eventually drives the market price even higher.
MID-YEAR MARKET REPORT 2021
Since then, with many raw materials in most production areas began to be traded in the market, the price gradually went down in a short time. Some buyers think the market will go down and hesitate to buy raw materials. The majority buyers still believe the price will start rising without going down anymore. As a result, the market is still active, and the trading speed is fast. Then the price of raw materials began to rise again by a small margin.
Then the market tends to be stabilized because many businesses already have sufficient stock of raw materials. There is no big fluctuation in the price range.
YEAR-END MARKET REPORT 2021
The price rose again at the end of 2021. There was a shortage of raw materials because most raw materials have already been purchased few months ago. Many factories were anxiously buying raw materials in order to complete their order at the end of year. Many sellers refuse to sell the existing raw materials in their hands because the market price is continuing rising even this is the end of year. The sellers only sell their goods if the buyers agree to buy in high price. This has caused a temporary stalemate between sellers and buyers.
In fact, it is difficult to maintain price stability if the market is still active. In recent days, the market has become active again, and there are more businesses who showed up to purchase raw materials. There is still a gap in demand and the stock is insufficient.
