A new report predicts that Chinese leather and fur apparel prices are likely to rise because of higher production prices and lower demand.

Experts from the leather complex in Haining, Zhejiang province, compiled the report which claims that a number of factors will cause prices to rise. These include higher farming costs, environmental restrictions, limited supply of raw hides and skins and higher finished leather prices. Coupled with higher labour and marketing costs, it claims prices can only go one way.

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