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Mashudu Netsianda, Senior Reporter

GOVERNMENT has started paying cotton farmers their outstanding dues for the crop delivered last marketing season, the Minister of Lands, Agriculture, Fisheries, Water and Rural Resettlement Dr Anxious Masuka has said.

The cotton farmers have already delivered about 40 000 metric tonnes of cotton to Cottco for the 2021 marketing season

The Cotton Company of Zimbabwe (Cottco) owed farmers $1,5 billion from last year’s deliveries, which were done when the cotton producer price was set at $43,94 (US$1,75) per kg. For this year’s crop, the price has been pegged at US$0,35c a kg and Cottco is working with CABS and CBZ to obtain funds so that it pays farmers on delivery.

Cottco has had cash flow problems, which prompted Government’s swift intervention to resolve the impasse between it and farmers.

In an interview, Dr Masuka attributed the delays to minor glitches like some farmers not having bank accounts.

“The cotton farmers who were owed the subsidy from 2020 have started receiving their monies from the Treasury and they are being paid directly. There was just a small problem because some of them didn’t have bank accounts,” he said.

“We have put a notice that they (farmers) should go to their nearest Cottco depot and ensure that they open an account so that we facilitate payment and this is something that we are tracking all the time.”

Dr Masuka said Government has been impressed by the Presidential Inputs Scheme being administered by Cottco, which has revived the cotton industry.

He said the scheme, coupled with renewed interest from private companies to finance the crop, has seen the cotton sector recording significant recovery.

“The Presidential Cotton Inputs Scheme has actually helped to revive production of fibre which had declined due to poor funding, inadequate agronomy support and side marketing,” said Dr Masuka.

The Presidential Cotton Inputs Scheme has seen a significant increase in the number of farmers taking up production of cotton in areas where the crop had long been abandoned.

About 98 percent of the cotton is being produced through the Presidential Input Scheme while two percent is being contributed through free farming.

More than 300 000 farmers were supported under the Presidential Inputs Scheme this year, with over 380 000 tonnes output expected. About 85 percent of output will be exported.

Government has since promulgated Statutory Instrument 96 of 2021, making cotton a controlled crop to curb side marketing and ensure all the crop produced under the Presidential Input Contract Farming Scheme is sold to Cottco.

Legislators called for the abolition of a voluntary payment scheme where farmers were paid in the form of groceries, farm implements, productive assets and household goods saying farmers should receive their money in full and spend it in the way they wish.

@mashnets