Harare — The Zimbabwe National Farmers Union has called on cotton companies to quickly pay growers to enable them to adequately prepare for the next season.
A number of cotton companies bought the crop at 35 US cents per kg but prices subsequently rose to 50 USc. The companies then pledged to pay farmers the balance. ZNFU director (production and logistics) Mr Dan Madungwe yesterday said the payments should be made promptly.
"Cotton growers have begun their preparations for the next season and it is vital that they get their money on time. "It is also important that the companies who are contracting farmers for the coming season provide adequate supplies of inputs," he said.
Mr Madungwe said the problem of side marketing would not have been prevalent had companies provided full packages to farmers. He urged cotton growers not to enter into agreements without understanding the terms. "Farmers should not take inadequate inputs from companies because by doing so they would have agreed to be contracted for the whole crop and they will be forced to sell the whole to that firm," he said.
This year, companies willing to enter into contracts with farmers will first have to approach the Ministry of Agriculture, Mechanisation and Irrigation Development for approval. This is to ensure both parties benefit from the arrangement.
The cotton industry was this year severely affected by the issue of pricing. Farmers wanted prices ranging from US$1 to US$1,50 per kg citing high production costs while companies said they could not afford these prices. Government intervened resulting in the pegging of cotton prices at between 35 USc and 50 USc per kg.

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