The Sustainable Fibre Alliance (SFA) continues collaborating with its member cashmere processing companies to foster responsible and sustainable supply chains.
From the 14th to the 20th of April 2025, the SFA, in partnership with the International Cooperation Committee on Animal Welfare (ICCAW), conducted site visits, meetings, and seminars at several leading cashmere manufacturing companies across China.
As part of this initiative, the SFA engaged with the following member factories:
- ERDOS Cashmere Group, Ordos City
- Consinee Group, Ningbo City
- Hebei Yuteng Cashmere Products Co., Ltd., Hebei Province
- Chifeng Dongrong Group, Chifeng (Ulaan Had) City
During the seminars, SFA’s CEO, Una Jones, delivered a comprehensive presentation on the SFA’s Volume-Based Fee (VBF) model. At the same time, ICCAW’s Vice President, Mr Ayongxi, presented on cashmere standards and certification processes.
The hosting companies shared their practical sustainability initiatives and introduced their ongoing projects. They also discussed potential future collaboration opportunities with the SFA and ICCAW representatives. These exchanges provided a valuable platform for information sharing, experience exchange, factory tours, and in-depth discussions.
Mr Ayongxi also gave an overview of ICCAW’s operations, highlighting that the organisation was established in 2013 with approval from the Ministry of Agriculture and registration under the Ministry of Civil Affairs in China. ICCAW operates under the China Association for the Promotion of International Agricultural Cooperation (CAPIAC), aiming to enhance domestic and international agricultural collaboration and improve animal welfare across the country. As a national non-profit organisation, its scope and impact are significant.
Mr Ayongxi presented the history of standard development and implementation in the cashmere sector. Since 2019, ICCAW has worked closely with the SFA and internationally recognised institutions to develop and implement the “Cashmere Goat Welfare Standard”. This standard has been validated on-site in key cashmere-producing regions in China, such as Inner Mongolia, Gansu, Shanxi, Liaoning, Ningxia, and Qinghai, reaching 37,510 farming households.
During the presentations, Mr Ayongxi emphasised the current challenges in the sector, including political risks and data security concerns, urging stakeholders to strengthen collaboration and ensure effective domestic implementation of standards to achieve true sustainability.
What is the SFA's Volume-Based Fee (VBF)?
A key highlight of the seminar was Una Jones’ detailed presentation of the SFA’s Volume-Based Fee (VBF) system. Jones explained its objectives and benefits, noting that the system is designed to support the rising demand for certified cashmere by strengthening transparency and efficiency in the supply chain while providing tangible support for herder well-being. The system was officially launched for the 2024 cashmere season.
Core goals of the SFA Volume-Based Fee (VBF):
- Sustain the delivery of training and certification in line with the increasing demand for certified cashmere.
- Invest in impactful activities that enhance herder capacity and animal welfare.
- Improve traceability systems and supply chain verification.
- Build trust and stakeholder business relationships among brands, buyers, herders, and all supply chain stakeholders.
Why was the SFA Volume-Based Fee (VBF) introduced?
Due to the rapid growth in demand for certified cashmere in recent years:
- Training, auditing, and certification activities have expanded.
- The number of herders and farms participating in the programme has increased.
- Traceability requirements across the supply chain have grown.
To cover these additional costs and maintain high-quality certification services, the SFA launched the Volume-Based Fee (VBF) model. This model aims to ensure long-term sustainability without compromising the quality of standards.
The discussions and interactions during this visit served as a knowledge exchange and a crucial opportunity to deepen shared understanding and reinforce industry collaboration. The SFA and ICCAW remain committed to further strengthening their partnership, supporting cashmere producers in meeting international sustainability standards, and working together to foster a more transparent, responsible, and environmentally friendly global cashmere sector.
Translated by Tamir Bud
SFA COMMUNICATIONS OFFICER
7 May 2025
Originally posted on 29 April 2025: https://sustainablefibre.mn/sfa-and-iccaw-jointly-host-training-2/
