adminThe Agriculture Marketing Authority (Ama) has thrown its weight behind a Competition and Tariff Commission (CTC) directive barring the Cotton Ginners’ Association (CGA) from setting universal prices of cotton.
Ama chief executive officer Mr Rokie Mutenha said individual cotton farmers should negotiate prices with contractors.
“As Ama we see nothing wrong with the order given to CGA considering cotton growers receive inputs from different contractors and should be given the liberty to negotiate prices with their respective contractors,” said Mr Mutenha.
In February this year, CTC ordered the CGA to desist from setting a uniform price range for cotton.
This came after CTC received a report from the Zimbabwe National Farmers’ Union, which complained the practice disenfranchised farmers.
CTC’s decision, however, did not go down well with other farmer organisations which then appealed for a reversal.
As a result, this has delayed the commencement of the cotton marketing season since some farmer organisations insist on reverting to price negotiations.
Since 2009, farmer representatives and merchants negotiated a minimum producer price before the onset of each marketing season.
In cases of a stalemate, Government intervenes through Ama.
derick.khumalo
Online Reporter