THE Agricultural Marketing Authority (Ama) yesterday opened the 2024 cotton marketing season which will see 647 established buying points the white gold.
The season will run up to July 6.
The regulator has set this season’s minimum prices at US$0,43/kg for Grade A, US$0,39/kg (Grade B), US$0,36/kg (Grade C) and US$0,32 (Grade D) for the white gold.
Cotton remains the country’s second most exported agricultural crop, after tobacco, This makes it a significant foreign currency earner.
At a Press conference, Ama chief executive officer Clever Isaya said eight contractors had been registered for the selling season and are the only one eligible to buy from farmers.
“The 2024 seed cotton marketing season is scheduled to run for a period of 1 month, that is from 6 June to 6 July 2024. A total of 647 common buying points have been established throughout all cotton growing areas, which constitutes 164 permanent points and the rest are mobile points. Ama is working closely with all registered cotton contractors to ensure a smooth and successful marketing season,” Isaya said yesterday.
The eight registered contractors are Alliance Ginneries, Agri-Value Chain, Cottco, Innovative Cotton, New Cotton Company, ShawashAgri, Southern Cotton Company and Zimbabwe Cotton Consortium.
Isaya said merchants will be allowed to purchase seed cotton once they had finished paying farmers for deliveries made in the last season and when all grade differential prices have been paid.
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“Further, all contractors are directed to buy from their contracted farmers. For this marketing season, Ama shall implement a quota system based on the level of support each contractor provided during the current season. No contractor shall be allowed to buy outside their quota save for self-financed crops,” Isaya said.
He added that they would also be using the Ama database to screen contractors and manage the payment channels to make sure that farmers access payments within a 5km radius of their buying point.
“Buying shall be strictly through Ama-designated buying points using the Ama database for purposes of screening and directing farmers to their rightful contractors to avoid side marketing,” Isaya said.
“Contractors shall deploy the most appropriate payment channels in the areas where farmers live, and farmers should be able to access their payments within a radius of 5km from the common buying point.”
Isaya said that contractors were required to deliver individualised statements of grades and intake to the farmers by November 30, 2024.
However, he added that the El Nino induced-drought would negatively impact cotton yields.
“The 2024 marketing season comes against a backdrop of the El Nino-induced droughts that led to reduced cotton yields. The season has been challenging, characterised by a late and false start of the rains, followed by prolonged dry spells,” Isaya said.
“This adversely affected yield and expected total production. Climate-proofing of cotton through the adoption of Pfumvudza/Intwasa becomes key to mitigate the impact of climate change.”
