July 2020 Auction results: first signs of improvement
For the first time in 2020, Kopenhagen Fur has managed to arrange what was a successful physical inspection. After a week of sales, the July auction comes to a close, and we would like to thank all of our customers for their constant support.
Kopenhagen Fur’s third auction of the season ended on Thursday with the offering of Silverblue Velvet females. The final sales reached 26 percent; an increase compared to the June auction (8 percent).
Although the numbers are still far from satisfactory, the increase in sales is a positive development, given the circumstances of this season. The markets are still riddled with an uncertainty and instability that may be difficult to shake off. However, sales may benefit from the seasonal uptick in fur manufacturing activity, which should increase as retail season gets closer. The smaller manufacturing operations are still inactive, but larger manufacturers have initiated their activity and are currently running at 40% of their capacity.
Another factor that may have contributed to this improvement is the strategic approach taken by Kopenhagen Fur to adapt to the “new normal”. Minimum skin prices have been set to avoid further plunges and to encourage market stability, while unsold goods will be taken out of the market to accommodate demand. These measures took effect during the July auction, and will remain in place for the rest of the season.
Hopefully, we are seeing the beginning of an increasingly positive climate. Combined with Kopenhagen Fur’s firm strategic approach, the remainder of the season may present a reduced uncertainty.