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Cashmere sales heat up in cold snap
Plunging global temperatures, combined with a weak pound and a strong euro, have created the biggest boom in demand for
Scottish branded cashmere and quality woollen knitwear for almost 25 years.
Mills across Scotland are working flat out to cope with demand and companies involved in the production of cashmere
accessories and quality Scottish knitwear say they expect a multi-million pound increase in turnover this year, despite the
credit crunch.
Ken Pasternak, chairman of the Scottish Cashmere Club, which represents leading manufacturers, said prospects for 2009 looked
brighter than for almost a quarter of a century.
"After 25 years of fairly hard going, we, as an industry, are out of the twilight zone and entering a new dawn," said
Pasternak who is also managing director of Peter Scott, a company based in Hawick in the Scottish borders.
"As an industry, proudly made in Scotland, we have some very positive opportunities in front of us. Relate that to the low
value of the pound and we have the ability to increase our impact on the export market across the board.
"At Peter Scott we expect, very pessimistically, to have an increase in turnover this year of £3.5m. We are basing our
projections on contracts already signed. We are a 130-year-old company and very conservative. We don't speculate, but work
out our budgeting on hard facts. If we can increase sales by £3.5m so can other companies."
Cashmere weaving in Scotland began in 1797, and the majority of products are exported. The industry supports around 4,000
people and, as demand increases, more jobs are likely to be created over the next 12 months.
"We are now in a position where we are a hell of a lot more competitive than we were a year ago," said James Dracup, managing
director at the Elgin plant of Johnstons, which is one of the oldest cashmere manufacturers in the country and whose clients
include Harrods in London and Bloomingdales in New York. "The cold weather we are experiencing across the world is helping
because it is accelerating sales of the type of product we specialise in, namely accessories.
"Rather than buying bigger ticket items such as jackets, coats, suits etc, people are buying smaller ticket items, namely
scarves, shawls, hats, gloves, and socks which they can use to alter the appearance of outfits. All early indications are
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