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Govt asks dealers to procure cotton at prescribed price
Aug '11
The Tanzanian Government has issued directions to all Regional Commissioners asking them to prevent all the dealers from procuring cotton at a price less than the prescribed price of Sh900.

The order to this effect was passed by the Parliament when a question was raised whether the Government was aware that some of the dealers were persuading cotton cultivators to sell their crop at very low prices.

While issuing the order, the Tanzanian Government said that world cotton prices are prevailing at good levels and have gone up from Sh500 per kg to around Sh900 to Sh1000 per kg.

However, feeling that the prices have yet not stabilized, the Government has constituted a special commission to study the fluctuations in the price of cotton. The commission is soon likely to lay its findings before the Government to aid it decide the future course of action.

According to the Government order, pending submission of report by the commission, the cotton dealers are not expected to procure cotton produce at a price lower than Sh900 per kg.

Fibre2fashion News Desk - India

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