Cotton growers urged to sell crop

viable.
This follows a fall in cotton producer prices from US$0,85c per kilogramme to US$0,75c.
This was caused by the drastic decline in international lint prices from US$2,37 per pound to US$1,64 per pound last month.

A number of farmers had been withholding their crop in anticipation of better prices but this has been futile, as the prices have started falling.

ZCFU cotton specialist, Mr Tendai Mungunyana said it was advisable that cotton farmers sell their crop than withholding as prices may continue to fall.
“The prices may continue to fall and growers may end up incurring losses,” he said.

Mr Mungunyana said farmers unions, merchants, ginners and the Agricultural Marketing Authority officials agreed on the price after meetings and consultations.
He, however, said the new producer price, would still enable farmers to make profits.
“With the new price, farmers are still safe and should therefore keep watching the trends,” he said.

On the other hand cotton growers are complaining that buyers are quick to reduce producer prices when the international price falls but do not adjust increases with speed.
Mr Tendai Chitaka of Gokwe said he was going to continue holding on to his crop as international prices were fluctuating.
“I will sell when the price is favourable. The problem is that we are only told of the international situation when prices fall,” he complained.

Zimbabwe Farmers Union second vice president, Mr Berean Mukwende said while prices were on the downfall at the world market, it was not going to be permanent as they may start firming.
“Prices fluctuate according to the law of supply and demand and the situation changes constantly,” he said.
He, however, urged merchants not to take advantage of the situation and start reducing prices by higher margins.

Cotton growers have for the past few seasons complained of low prices which they said were not viable while others have been threatening to shift to other highly paying crops.
Last year, Government had to intervene after merchants and farmers had failed to agree on prices. Government had to allow other players including the Chinese to buy the crop from farmers.