US$700k boost for cotton farmers
TREASURY has disbursed US$659 000 and $220 million for cotton delivered last season, a development that will come as a relief to cotton farmers.
Farmers are owed $1,5 billion by Cottco from last year’s deliveries, which were done when the producer price was set at $43,94 (US$1,75) per kg.
“Outstanding payments for the 2020 cotton marketing are now being made and a total of US$659 000 and $220 million has already been paid to farmers. All cotton farmers are encouraged to provide their bank details,” read minutes from Tuesday’s Cabinet sitting.
Cotton Producers and Marketers Association national chairperson, Mr Stewart Mubonderi yesterday appraised the development saying it will aid farmers planning for the upcoming agriculture season.
“We are quite happy with the development, farmers having been waiting and some even losing patience, the payment had long been overdue, it was promised three times without anything tangible coming out.
“This payment will enable our farmers to go back to the fields this coming season,” he said.
Giving oral evidence to the Parliamentary Portfolio Committee on Lands, Agriculture, Fisheries, Water, and Rural
Resettlement chaired by Gokwe Nembudziya legislator Cde Justice Mayor Wadyajena recently, Cottco managing director Mr Pious Manamike said payments to farmers had been a challenge due to a number of reasons.
“At this stage we have not made payments amounting to $1,5 billion to farmers for the crop delivered last year. We still have hurdles to be cleared in terms of operationalisation and raising of the funds,” he said.
For this year’s crop, Mr Manamike said, 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.