Economics and finance

Loro Piana’s commitment to Mongolia’s nomadic herders

The LVMH Group company, which has already launched the ‘Resilient Threads’ programme to boost local biodiversity in support of nomadic herders, took part in COP17, held in Ulaanbaatar

3' min read

Translated by AI
Versione italiana

3' min read

Translated by AI
Versione italiana

A wafer-thin strand of wool – just a few microns thick, yet stronger than steel – has for decades linked the nomadic tribes of the Mongolian steppes to Loro Piana, the textile company that has epitomised ‘Made in Italy’ excellence for six generations and is now part of the LVMH Group. That highly prized yarn from cashmere goats underpins the well-being of people, the local area, the product and the business.

Coordinating these elements is the central objective of the global strategy for ecosystem conservation set out by the Conference of the Parties (COP) to the UNCCD, the United Nations Convention to Combat Desertification, because efforts to protect the environment must be consistent, as today’s natural disasters demonstrate. COP 17 took place in Ulaanbaatar from 17 to 28 August; it secured $1.3 billion in financial commitments – a third of which were brand new – and called on businesses to play their part.

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In the Mongolian capital, LVMH formally joined the United Nations initiative as part of the ‘Business for Land’ programme, following on from ‘Life 360’, the French group’s strategy on responsible sourcing and the protection of ecosystems, Frédéric Arnault, who will take the helm at Loro Piana in June 2025, reiterated to the COP7 audience gathered in a yurt that the group will play its part in strengthening the resilience of the Mongolian steppes and the cashmere ecosystem.

LVMH is continuing the “Resilient Threads” project, launched last year in Sukhbaatar Province to strengthen local biodiversity in support of nomadic herders, focusing on local capacity to manage reproduction, animal health and the region’s resilience to adverse conditions. Furthermore, 2026 has been proclaimed by the FAO as the International Year of Grasslands and Herders (IYRP).

With the enthusiasm and caution of someone taking on a precious legacy, Frederic Arnault explained how, for Loro Piana, the connection with the local area is crucial: sourcing the world’s finest raw materials is not merely a necessity, but a strategic priority. The company invests in the regions and communities with which it collaborates, from Peru to Mongolia and New Zealand, providing long-term support to strengthen local capacity and ensure the continuity of high-quality supply chains.

Since 2019, Loro Piana has been implementing the certification protocol for a responsible cashmere supply chain in collaboration with the International Cooperation Committee on Animal Welfare (ICCAW) and the Sustainable Fibre Alliance (SFA), and in 2021 the first batches of cashmere were certified. The holistic ‘One Health’ approach is essential. Two years ago, there was the shock of the dzud, the cold storms of the eastern steppe that take their toll on animal and human health as well as biodiversity, and which almost decimated the herds of Bayandelger red goats, threatening both the survival of the breed and the livelihoods of over a thousand herding families. Now, however, there are already over 650 newborns thanks to the efforts of “Resilient Threads”, including the Dzud Impact Report and the One Health Mobile Centre operating in the region.

In Ulaanbaatar, Loro Piana operates its only manufacturing facility outside Italia, where cashmere fibres are processed, fostering long-standing relationships with local cooperatives and working alongside experienced herders to pass on the centuries-old tradition of sourcing the fibres. The factory is staffed by skilled workers who can assess the quality of the product by touch and select the finest parts; each garment ultimately ‘yields’ around 300 grams of wool. The wool is then washed to remove the fats from the raw yarn, and the finished product is packaged. There is a pungent smell in the air; here, you realise that we are not talking about a commodity, but rather a philosophy of work and life, which draws its vitality from an obsession with quality.

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