Cotton Ginners Struggle To Pay Farmers

Cotton ginners are struggling to pay farmers for cotton deliveries made in the 2019/2020 season and have appealed to the Government for a $4 billion bailout to clear the arrears.

While the Government set the buying price of US$1,30 per kg, which was met with jubilation by the local farmers, the ginners say they are incapacitated given that international cotton price is about US$1,20 per kg.

This means that the ginners are already operating at a loss and have been failing to pay farmers their dues. Farmers on one hand are crying foul and have threatened to stop growing cotton after the Cotton Company of Zimbabwe (Cottco)’s decision to “pay them through groceries”.

Farmers say the move was unilateral and that the company is forcing them to accept groceries they do not want or need. They are also accusing the company of reneging on an earlier agreement to pay them in United States dollars and local currency. Chronicle