Cotton farmers earn $200 million

international lint prices despite a seven percent drop in production, Agriculture Marketing Authority (AMA) chief executive Mr Rockie Mutenha said yesterday.
Cotton is the country’s largest foreign currency earner in agriculture after tobacco.
Squabbles over prices that ginners were offering marred the 2010 selling season resulting in some farmers holding on to their crop while many others contemplated shifting to other cash crops.
Mr Mutenha said farmers earned $200 million in the 2011 season from 249 904 tonnes of the white gold, which was a seven percent decline in production.
“The increase in the value of seed cotton is attributable to higher international lint prices that prevailed during the last half of 2010 and first quarter of 2011. Hence despite a seven percent decline in volume, revenue realised doubled,” he said.
When the 2011 selling season began          cotton was selling at an average of                  $0,84 per kilogramme compared to $0,30 in 2010.
However, the price tumbled to an average of $0,40 per kilogramme following a fall in demand of the white gold internationally due to huge stocks in some cotton consuming countries.
The Government introduced a cotton levy last year which will be dedicated to training and extension services as part of efforts to increase production.
Poor yields ranging between 600 and 700 kilogrammes per hectare against the             ideal levels of between 1 200 and 1 500 have been cited as one factor hindering local cotton growers for reaping maximum profits.
Meanwhile, Mr Mutenha said at least 14 contractors were registered during the 2011/12 farming season, one up from last year, and these distributed inputs in cotton growing areas.
“Details of crop estimates will               become available later in the season,” he said.
At least 300 0000 hectares had been targeted for planting cotton this season but late rains and poor rainfall distribution affected the plans. — New Ziana.