CHINESE MINK FARMERS HAVE SLASHED THEIR PRODUCTION for the second consecutive year, according to unofficial reports. The country does not issue production figures for mink, but industry sources have learned that high costs and poor returns have again caused a substantial number of farmers there - mostly small operators and new to the field - to abort their operations. The current projection is China will produce between 7.5 and 8 million pelts this year, compared with last year's estimated 14 million and the previous year's estimate of 20 million, which represented an explosion from what it produced earlier.

PRELIMINARY ESTIMATES ARE THAT THIS YEAR'S WORLD MINK CROP will total about 44.7 million pelts, a decline of 14% from last year, almost entirely reflecting the Chinese slash. Virtually all of that country's mink are consumed domestically or exported as garments, so quantities offered by European and North American auctions should not be affected. However, with fewer domestic skins to fuel their factories, Hong Kong/China's manufacturers - already the largest auction buyers - are expected to step up their pressure on Western mink. Thus, if China's retail business merely remains steady this fall-winter, there could be a sharp price increase at the auction level.

This year's mink production by other leading sources is said to be holding steady at around last year's levels. In Denmark, the largest producer, the crop is expected to be unchanged at about 14 million. Although there was a 3% to 4% decline in the number of females bred, improved litter sizes were said to compensate. Also, the short-napped "velvet" types will comprise about half the crop, compared with 40% last year. Finnish mink ranchers also improved their litter averages to 4.6 per female from 4.32, but no total was available yet.