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Erdenet cashmere factory opens

Published Wednesday April 24, 2013

By B.Khash-Erdene

The Minister of Agriculture and Industry, Kh.Battulga, opened a new cashmere factory in Erdenet on Sunday as part of his visit to the Erdenet Khivs Carpet Factory in Orkhon Province.

The Erdenet Cashmere Factory was opened with ministry support following a commitment made by the government last year that a new “industrial revolution” would be initiated in Mongolia, with the aim of ending the export of unprocessed animal-related materials, renewing domestic value-added production, and increasing the manufacture in Mongolia of “final products.”

“Our nation will only prosper if we diversify our economy and decrease dependency on mining products such as copper and coal. To achieve this, one of the most important steps we can take is to begin processing animal-related products domestically,” said Minister Kh.Battulga on Sunday.

The Erdenet Cashmere Factory will be the second-largest textile and fabric factory in the country. According to company representatives, if it operates at full capacity, Mongolian textile producers will not have to depend on Russian imported thread and yarn as they currently do. According to industry representatives, this will help boost the productivity of the textiles and cashmere sector.

Officials such as the Head of the Light Industry Policy Implementation Management Department of the Ministry of Agriculture and Industry, Ts.Bayarmaa, representatives from the Ministry of Economic Development, and private sector representatives participated in Sunday’s opening ceremony.

Representatives of the Erdenet Khivs Carpet Factory told Kh.Battulga during his visit that the company has been seeking to expand its facilities since 2008, and seeks to triple its production of textured yarn and assembled goods. Their goal has been to stop the export of raw wool (at low prices) and increase domestic production of value-added finished products.

According to the Erdenet Khivs representatives, a visit to all of the factory’s stages of production requires walking a distance of six kilometers around the site.

Erdenet Khivs was established in 1981 and reportedly produces 96 percent of Mongolian carpets. The company exports around 20 percent of their goods, to 19 countries.

Short URL: http://ubpost.mongolnews.mn/?p=3694

Posted by on Apr 23 2013. Filed under Business & Economics, Онцлох мэдээлэл. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

1 Comment for “Erdenet cashmere factory opens”

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    They are helping succeed nomadic Mongolian herding families who due to drastic weather shifts, are losing their livelihoods, culture and lives. If you are interested in sharing this great cause please let us know http://www.prweb.com/releases/prweb2013/5/prweb10687683.htm

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