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Lovemore Zigara, Midlands Correspondent
LOCAL cotton processing and marketing firm, Cottco, has started paying cotton pricing adjustments for deliveries of the crop made to the company last year.

Cottco paid 35 cents per kilogramme (kg) for 10 800 tonnes of cotton delivered to the company last year and made an undertaking to pay a pricing adjustment based on the quality of the crop.

The company’s managing director, Mr Pius Manamike, told Business Chronicle that they are paying 10 cents per kg for A grade while the grade D — the lowest grade in terms of quality — will fetch two cents per kg.

“We started paying the cotton pricing adjustments on top of the 35 cents per kg we paid farmers last year. We are paying the farmers depending on the quality of the crop they delivered to us last year and for A grade cotton we will be paying 10 cents per kg while B grade will fetch six cents per kg with C and D grades earning the farmer four and two cents respectively,” he said.

The move by Cottco has been hailed by the Cotton Producers Association (CPA) who said it would instil confidence in the sector, which will see more farmers who had abandoned the crop taking up cotton.

“This is a positive development to the farmers and it is heartening to note that Government has honoured its pledge, which gives farmers the confidence to take up the crop next farming season. With such developments, especially after Government pegged this season’s producer price at 55 cents per kg, we expect an oversubscription of farmers taking up the crop,” said CPA vice chairman Mr Morris Mukwe.

CPA estimates that 98 percent of farmers in traditionally cotton growing areas of Gokwe and the Lowveld have taken up the growing of the crop.

Mr Manamike said Cottco has contracted about 150 000 farmers where 300 000 hectares of the crop has been planted.

Cottco is disbursing cotton inputs under the Presidential Cotton Free Inputs Scheme and so far 6 000 tonnes of cotton seed and basal fertiliser have been distributed, which is enough to cover 300 000 hectares planted this season.

“Most of the inputs were distributed quite early this year way before the rainy season and we are anticipating more output this season. However, we had challenges with fertiliser which came late because of funding challenges as some of it is imported from outside the country,” said Mr Manamike.

The late disbursement of some of the inputs was corroborated by CPA, which warned that some parts of the Lowveld could have its yield compromised as a result of the absence of fertiliser and chemicals. The Cottco boss said the fertilisers and chemicals have since been disbursed to farmers.

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