Cotton transporters reject local currency

ABOUT 36 transporters on Wednesday picketed at the Cotton Company of Zimbabwe (Cottco) head offices in Harare demanding to be paid their dues in foreign currency after delivering cotton to different depots last year.

The transporters accused the parastatal's leadership of neglecting them by not paying in time.

“We delivered cotton last year in June and others in November, but we are yet to be paid,” said a transporter who declined to be named.

“We picketed at Cottco offices in Harare where we were told that they can only pay us in local currency. We denied the arrangements as we used the United States dollar to fuel our trucks. Imagine a transporter owed US$18 000 now being paid in ZiG at interbank rate; that is not fair.”

The Zimbabwe Gold (ZiG) was introduced early last month at an exhange of US$1: ZiG 13,56.

Another transporter said: “Cottco is imposing the ZiG on us which is not good. We bought fuel and truck spares using foreign currency. Our contracts stated that we will be paid in US dollars, but they are now opting for the ZiG.”

Cottco has been at loggerheads with both farmers and transporters over the years because of non-payment of dues.

Cottco spokesperson Constance Makoni said they negotiated with the transporters and paid some of them in local currency.

“We reached an agreement with some of the transporters and paid them in local currency. About half of them got paid. However, some still demand their money in US dollars, we are going to communicate with them once the funds are available,” she said.