Cotton output is projected to recover to around 110 000 tonnes in the 2016/17 season

COTTON seed sales during the year to June 16, 2017 amounted to seven million kilogrammes, marking a 100 percent increase over the prior year when no sales were recorded, according to statistics from the Agricultural Marketing Authority (AMA).
This comes as cotton output is projected to recover to around 110 000 tonnes in the 2016/17 season, spurred by government’s free input support programme that helped reduce production costs and a good rainfall season.
Agriculture, Mechanisation and Irrigation Development Minister, Joseph Made, has announced that for the 2016/2017 season, 155 000 hectares of cotton had been planted, up from the 105 000 hectares planted last season.
There was also adequate supply and well-timed distribution of inputs, which is likely to be bolstered by developments on the international cotton markets, where prices are gradually increasing, signifying a good year for cotton producers who have faced a number of challenges over the years.
In its report, Bulletin 24 of 2017 issued on June 16, AMA revealed that there had been significant positive changes in cotton trading this season compared to the previous season.
The report also indicated an increase in tobacco revenues this season, compared to the previous season.
“Total national seed cotton seasonal sales as at 16 June 2017 stood at 7 078 573 kg compared to no intake during the same time last year,” said AMA.
Prices have been averaging between 47 cents and 48 cents per kg, according to the report, which said as at June 16, ETG Parrogate, one of the cotton buyers, had taken 320 943 kg of seed cotton, while Alliance Ginneries had taken in 415 013 kg and Olam had taken in 139 277 kg.
The State-run cotton trading firm, Cottco, had received the bulk of the seed cotton at 5 647 497 kg.
Cottco has benefitted from the bulk of the free inputs scheme sponsored by government.
Grafax had received 518 278 kg as at the reporting period, while China Africa had received 37 566 kg of seed cotton during the period.
The report said during the same period, tobacco farmers who had registered with authorities to grow the golden leaf had increased compared to the previous year.
Tobacco has emerged as the key export crop for farmers in Zimbabwe, after they dumped traditional cash crops like maize due to poor prices and delayed payments to deliveries by the State run Grain Marketing Board.
“As at 16 June 2017, 98 744 growers had registered compared to 80 987 who had registered same time last year,” AMA said.
“Total flue cured tobacco seasonal sales as at 15 June 2017 stood at 158 541 414 kg sold at an average price of $2,91 per kg at the three auction floors and contract sales compared to 151 871 177 kg sold at an average price of $2,92 per kg during the same time last year. This realised total revenue amounted to $461,6 million compared to $444,1 million achieved during the same time last year,” said AMA.
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