Cotton output surpasses target
September 2, 2012 in Business
VICTORIA FALLS — Zimbabwe’s cotton output has surpassed initial targets
notwithstanding an impasse in prices, a senior official from the ministry of
Agriculture, Mechanisation and Irrigation Development said last week. Report
by Bernard Mpofu
“As of last week, cotton output stood at 316 000 tonnes, surpassing targets
despite the prices impasse,” Ngoni Masoka, the ministry’s permanent
secretary told delegates attending a high-level conference in the resort
town.
In the 2012 national budget, cotton output was projected to reach 286 000
tonnes.
Early this year, cotton farmers were holding onto their crop protesting
against the poor prices that were being offered.
Merchants were offering a price of US$0,30 per kg, which farmers dismissed
as too little considering the cost involved in growing the crop.
Government later intervened and set the minimum price at US$0,77 per kg.
Masoka said government was pushing for the establishment of a fund which
seeks to assist farmers access affordable capital.
He also said the policy would also compel banks to set up a threshold for on
lending to a sector once regarded as the mainstay of the economy.