North American Fur Auctions mink follows downtrend

SANDY PARKER REPORT, VOL. 33, ISSUE 2, FEBRUARY 23, 2009
The following extract is reproduced with permission from Sandy Parker Reports, Weekly International Fur News. Sandy Parker has been covering the fur industry for more than four decades. For most of that time he has published a weekly newsletter, detailing results of international pelt auctions, wholesale price trends, business developments and movements in the trade, as well as economic and political activities that may impact on it.

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International Fur News
with Sandy Parker

North American Fur Auctions mink follows downtrend

THE SEASON’S OPENING SALE OF NORTH AMERICAN MINK WAS MET WITH STRONG DEMAND from a large attendance of buyers, indicating market confidence in the new price levels. The international financial meltdown and its effects on the various markets were evident not only in the makeup of the attendance, but also in the more conservative bidding. Buyers from Hong Kong/China and Korea came to Toronto virtually in full force, while there was a noticeable drop in the presence of Russians as well as their Greek and Turkish suppliers and agents. This was a reflection of Russia’s stiff curbs on the outflow of money, especially hard currencies.

China again was the dominant mink buyer at North American Fur Auctions, with Korea active on the better quality females. Russia showed only selective support for the larger males. As a result, with Russia not pushing on the males as it had been for several years, the male/female price gap narrowed significantly. While average prices overall followed the downward trend established earlier, this was more noticeable in the males than in the females. For example, the gap between blue iris male and female averages a year ago was $45; last week it was narrowed to $17.

DESPITE THE ANTICIPATION OF LOWER PRICES AT THE HONG KONG FAIR THIS WEEK, indications are that fewer independent retailers will make the trip to this year’s edition. Although Hong Kong has become fur manufacturer to the world and an indispensable source for retailers around the globe, the current economic situation evidently is playing a stronger role in their decisions as regards both buying plans and other expenses such as traveling. Because of the financial problems that are affecting virtually all markets, merchandise preparations for the year ahead are being scaled down in anticipation of reduced consumer spending – especially for luxury items such as furs.

IN THIS ISSUE:
NAFA Mink Follows Downtrend
100% Sale Confirms Confidence
Russia Plays Smaller Role
Sable Prices Drop from Peaks
Fewer Stores Heading to Hong Kong

For extracts from back issues of Sandy Parker Reports see News Archive. Subscribers can access an archive of complete issues at www.sandyparker.com.