The project’s feasibility study has recently been completed, project coordinating company has been set up, and 30 percent of the funding necessary for the operation of the project implementation unit has been secured. Also, processing plant equipment has been purchased and an agreement has been concluded with the local pasture users' association. Sales agreements have been concluded with foreign customers and the design phase of the project is underway, according to the project unit.

The facility will have a yearly processing capacity of 3.5 thousand tons and is expected to increase incomes of 41.5 thousand herder families in the western region, including 8.9 thousand in Zavkhan aimag, by sourcing raw materials worth MNT 2.3 billion from them every year.

The wool processing plant with an expected annual net profit of MNT 17.1 billion will contribute around MNT 700 million to the local and state budgets every year in addition to creating 353 new jobs.