Commercial Farmers' Union of Zimbabwe

Commercial Farmers' Union of Zimbabwe

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Zimbabwe’s cotton output declines

Zimbabwe’s cotton output declines

By Tabitha Mutenga, Features and Supplements Editor

Cotton is one of the major crops produced in Zimbabwe.

Cotton is one of the major crops produced in Zimbabwe.

 
THE 2015/2016 cotton production estimates indicate that the country will this year produce between 70 000 and 80 000 tonnes of cotton, down from 104 000 tonnes produced last season.

 

The decline in output is due to poor prices and a marketing regime that cotton growers feel favours merchants against farmers.
Some experts, however, feel yields per hectare have been too low among cotton farmers to allow for good harvest and consequently profitability.
Experts have repeatedly urged farmers to increase yields from the current 850 kilogrammes per hectare to at least 1 500 kg per hectare, considering the fact that the country has the potential to produce 600 000 tonnes of cotton per annum.
Despite the perennial price disputes, cotton remains the country’s second largest foreign currency earner from the agricultural sector after tobacco; but the labour intensive crop is under threat as buyers fail to provide a sustainable price to farmers.
The Zimbabwe Farmers Union (ZFU) weekly market guide indicated that the cotton marketing season had kicked off with the Cotton Company of Zimbabwe (Cottco) buying the crop at US$0,30 per kilogramme  while other independent cotton ginners such as Alliance, Sino-Zimbabwe, ETG, China Africa and Grafax are buying the crop at US$0,36 per kilogramme.
“The price continues to be negotiated between farmers and buyers/ginners and farmers are being paid according to grade or quality of their seed cotton hence the price adjustments will be paid after grading,” the ZFU report said. 
Over the years, the country’s white gold has turned into dust as many farmers who enjoyed the success of the sector with its annual bonuses have been turned to beggars.
However, the world market prices have collapsed, and the liberalised contract system, where numerous companies compete with each other, has failed to revive production.
Cotton Producers and Marketers Association chairman, Morris Mukwe, said although the cotton marketing season was in progress, independent buyers were taking advantage of the smallholder farmers, buying the crop at US$0,36 per kg.
“Cottco is actually paying US$0,45 per kilogramme as an advance price. It buys at US$0,35 per kilogramme plus an additional US$0,10 per kilogramme for the inputs given to farmers under the Presidential Input Scheme and after the sale of the cotton lint in November, the company will pay a price adjustment of US$0,10 per kilogramme bringing the total to US$0,55 per kilogramme.
“Independent buyers, however, have indicated that they will not be paying farmers the expected price adjustment in November,” Mukwe said.
Cottco’s inputs credit scheme is credited as  the largest single factor in the expansion of the cotton production over the years and the significant economic development seen in many of Zimbabwe’s communal areas, with ginneries in areas such as Gokwe, Sanyati and Muzarabani which led to infrastructural development and increased employment and business opportunities.
For the 1999/2000 record crop of 353 000 tonnes, Cottco financed over 76 000 growers on the scheme to the extent of US$836 million. 
But the crop, which has been very critical in the development of sustainable rural livelihoods, has lost its glitter as farmers abandon production in favour of tobacco and other alternative crops.

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