Cotton farmers to get less for their produce in ‘99

Cedi depreciates 

Tamale (Northern Region), 7^th May ’99 -

Cotton companies and farmers have agreed on 700 cedis as the producer price for a kilogramme of grade 'A' seed cotton for the 1999 farming season as against 740 cedis paid last year.

Grade 'B' seed cotton will be bought at 580 cedis a kilogram.

This was the outcome of hectic negotiations between representatives of cotton farmers and cotton companies in Tamale.

The Ministry of Food and Agriculture initiated the negotiations to avoid the recurrence of last year's impasse over the producer price when the farmers insisted on selling at 800 cedis a kilogramme.

The companies attributed the fall in price to the drastic fall in the world price of lint cotton, stressing that "they have not been able to sell their 1997 and 1998 stock".

The farmers, on the other hand, wanted a stable price of 800 cedis per kilogramme for the next two years or 700 cedis with free insecticides.

After some five hours of negotiations, the parties agreed that the produce "will be graded and the companies will purchase grade 'A' seed cotton at 700 cedis per kilogram and grade 'B' at 580 cedis.

The companies are also to supply inputs to the farmers on credit at 1998 prices.

GRi…/

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