Cotton prices had been pegged at US$0,45 per kg for the 2016/7 season with plans to plant 400 000 hectares of cotton in the coming season on cards.

THE 2016 cotton marketing season may fail to kick off as farmers and buyers fail to reach an agreement over the 2016 cotton buying price.
Buyers and farmers met last week to discuss the 2016 buying price, but failed to reach an agreement as farmers accused buyers/ginners of failing to fulfil last year’s cotton buying conditions.
Last year, farmers and merchants agreed on the payment of an interim price of US$0,30 per kilogramme (kg) and an adjustment price paid based on the cotton grade.
However, many buyers failed to pay the adjustment prices.
Cotton Producers and Marketers Association representative, Morris Mukwe, said farmers were not going to sign any agreement unless the merchants pay for the crop adjustments as per last year’s agreement.
“They have to fulfil last year’s promises before we meet again to discuss this year’s buying prices. Without that we told them we could not negotiate for a new crop when last year’s crop has not been paid for,” Mukwe said.
Agriculture Mechanisation and Irrigation Development Minister, Joseph Made, however, said cotton prices had been pegged at US$0,45 per kg for the 2016/7 season with plans to plant 400 000 hectares of cotton in the coming season on cards.
The merchants’ US$0,30 per kg offer for the local cotton as over the past few years sparked outrage among farmers.
“The price at which government will be purchasing, even though it hasn’t been finalised, will be no less than US$0,45 per kilogramme, plus the bonus that will be paid as and when the cotton would be sold in terms of cotton lint, stock feeds, cotton cake,” said Made.
“Our target is to reach 400 000 hectares to be planted in the coming season,” he added, saying there were plans that all cotton grown under government support would be marketed through the Cotton Company of Zimbabwe.
Cotton output for 2016 is expected to decline due to issues to do with pricing, financing and the drought that seriously affected production this year.
Cotton production declined by 34 percent during the 2013/14 season from 136 000 tonnes to 90 000 tonnes in the 2014/15 season due to drought.
This was the second lowest crop after 60 000 tonnes harvested in the 1991/92 season, also due to a severe drought.