November 2011

Ministry of Commerce and Industry

CASHMERE ACTION PLAN

Objectives of the Cashmere Plan

The plan looks at actions to: Move the industry up the value chain

through repatriating key parts of the value chain from neighbouring countries

Increase processing of raw cashmere fibres Enable producers to earn higher prices for

raw fibres Create the conditions in which private

sector can move further up the value chain into the weaving of yarn

September 2011

3

Issues to be addressed along the value-chain

November 2011

4

TRADING

Knowledge & Market Linkage

Marketing &

Branding

MANUFACTURING/PROCESSING

WashingSpinnin

g

Weaving/

Knitting

Manufacturing Garments & Accessories

PRODUCING

De-hairing

Harvesting

Scouring

Grading

Production related actions

November 2011

3

Examples:• Train producers and exporters on methods of grading raw

cashmere• Distribute information on breeding, harvesting and handling

techniques, including awareness of the pros and cons of sheering versus combing

PRODUCING

De-hairing

Harvesting

Scouring

Grading

Some key issues• Only 30% of Afghan

cashmere-producing goats are harvested

• Producers do not know to meet commercial grading requirements

• Buyers are unable to gain reliable supplies of graded cashmere

Manufacturing & processing related actions

November 2011

4

Examples:• Encourage investment in processing by reducing the risk of

investing by identifying suitable government owned facilities that can be leased to investors

• Demonstration visits to Macau Cashmere’s operations in Heart for cashmere farmers, traders or businessmen who are interested in moving up the value chain

• Market study into the demand for cashmere garments for fair trade or artisanal market sector, accompanied by a feasibility study for the necessary equipment and techniques to set up a manufacturing facility in Afghanistan

MANUFACTURING/PROCESSING

WashingSpinnin

g

Weaving/

Knitting

Manufacturing Garments & Accessories

Some key issues• Limited processing

occurs in Afghanistan• Limited skills in

processing and manufacturing exists

Trading related actions

November 2011

5

Examples:• Develop a detailed plan for hosting a website on which

contact information for buyers and sellers can be posted• Develop a strategy for expanding into niche markets (Fair

Trade, Handmade by Afghan women, Ecological Fibers)• Develop a global marketing strategy for Afghan cashmere

based on lessons learnt from donor-funded cashmere marketing projects in other countries

TRADING

Knowledge & Market Linkage

Marketing &

Branding

Some key issues• Poor marketing of Afghan

cashmere• Poor international market

linkages