Alpaca Fiber Market Trends
Growth Drivers
- Growing Number of Alpaca Breeding – Rising number of alpacas directly boosts the production of fur. There are around 4 million alpacas all over the world. Out of these around 9% live in Bolivia, and nearly 30% are in New Zealand, the US, Canada, and Australia. Moreover, the largest share approximately 87% is held by Peru.
- Rising Government Efforts for Expanding the Supply of Alpaca Fibers– In 2020 the government of Peru has taken initiatives for focusing on alpaca fibers by creating a textile and clothing industry group. With around 6 million kg of alpaca fiber produced in 2019, Peru is the largest producer of alpaca fibers and generated around USD 191 million.
- Growing Demand for Eco-Friendly and Sustainable Garments – Sustainability has become a crucial factor for people when making clothing choices and fashion purchases, in October 2020, around 65% of people prefer sustainable clothing and it further increased to approximately 69% in May 2021.
- Rising Manufacturing of Natural Fibers – Over the past few years, natural fiber growth has been steady. According to various statistics, they account for 30% to 40% of the global market for fibers.
Moreover, India, China, and the United States has the largest contribution around 60% in the manufacturing of n
- Rising Expenditure on Luxurious Clothing – Alpaca fiber-made stuff, including clothes, chairs, and bags are very expensive and are counted as high-end products. The total revenue generated by luxury goods in 2022 was around USD 70 billion and it is expected to grow by approximately 3% by 2027.
Challenges
- Rising Protest Against Animal Fur- Activities are concerned about the treatment animal receive on farms. They are constantly put under pressure for growing the fur business. They might suffer from anxiety, stress, and other psychological and physical problem that make their lives intolerable. The governments of Austria and the United Kingdom have outright outlawed fur growing in their respective nations. This factor is likely to hamper the market growth.
- High Cost of Alpaca Fiber
- Cheaper Wool is Available in the Market
