Cotton farmers pocket US$2,6m

Sunday Mail Reporter

COTTON farmers have pocketed US$2,6 million after selling 32 000 tonnes of the cash crop to the Cotton Company of Zimbabwe (Cottco) since the beginning of the marketing season last month.

Cottco, which is targeting 80 000 tonnes this year, has set up 540 buying points. Farmers are being paid US40 cents per kilogramme for the base grade, US41 cents for grade C, US43 cents for grade B and US46 cents for grade A. Growers are receiving 85 percent of their payment in foreign currency and the rest in the local currency.

Cottco acting accounting officer Mr Munyaradzi Chikasha said: “The season started well and we have been buying seed cotton in all the cotton-growing provinces in the country.

“We have so far received around 32 000 tonnes, against a target of between 75 000 and 80 000 tonnes of seed cotton this season.

“Currently, we are at 40 percent of our target and the peak of our season is in July.”

Buying points have been set up in areas such as Chiredzi, Chinhoyi, Gokwe, Lupane, Kadoma, Mutoko, Muzarabani, Mt Darwin, Sanyati and Mutare, which are considered “conveniently located near the farmers’ homesteads”.

“So far, US$2,6 million has been disbursed towards farmer payments.

“The company has secured funding from financial institutions and advances from lint and ginned seed customers,” added Mr Chikasha.

Cotton farmers are receiving support in the form of seed, chemicals, fertilisers and knapsacks free of charge through the Presidential Inputs Scheme.

This puts them at an advantage as the seed cotton payment is their profit, except for the labour they may need to hire.

There has been an increase in the number of farmers registering for the scheme.

“Cottco is an agent for rural transformation by virtue of where its operations are located,” he said.

“Last year, payments to farmers amounted to US$14 million and $1,5 billion.

“This year, we expect to pay an equivalent of US$32 million for seed cotton purchases to the community, hence contributing to rural development.

“Women and the youth have been economically empowered through cotton production, and for the 2022/2023 season, we registered a total of 360 224 growers, whom we trained.”