Home / Knowledge / News / Textiles / Cotton growers to get credit facility
Cotton growers to get credit facility
Sep '11
Cotton cultivators in Ethiopia would soon be able to avail credit facility for harvesting, collecting and ginning of the crop.

In view of the cotton harvesting season that is to begin in about two weeks time, the Commercial Bank of Ethiopia (CBE) and the Construction and Business Bank (CBB) would dole out up to 350 million Br in loans.

The credit facility would be similar to that given for pre-shipment export, in which manufacturers get loan on the condition that it would be paid back when the transaction is completed, with the Development Bank of Ethiopia (DBE) standing as a guarantor.

Under the new loan facility, cotton growers must submit the proof of their contractual agreement with textile and apparel companies prior to acquiring the credit, according to Esayas Bahre, President of DBE and a representative of the Ministry of Agriculture (MoA).

The past performance of the cotton growers in production and export would also be considered while distributing the credit, Mr. Bahre said.

However, the cotton cultivators said the conditions put by the DBE would take away their bargaining power with textile and garment factories.

The decision to allow credit to cotton growers was taken after a series of high level meetings attended by the Presidents of the CBE, CBB, the Central Bank and the MoA.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 25th May 2017

Huntsman and Clariant to have merger of equals

Huntsman Corporation and Clariant have announced that their boards of ...

Courtesy: CBRE

Apparel/Garments | On 25th May 2017

European cities preferred for retailer expansion: CBRE

European cities were the preferred new destination for international...

Apparel/Garments | On 25th May 2017

Guess records $458.6 million revenue for Q1 2018

For the first quarter of fiscal 2018, the net revenue of American...

Interviews View All

Stefan Warnaar
Peak to Plateau

People are willing to pay for quality and performance

Nuno Venda

‘There has been an increase in demand for water based inks, rather than...

Anvita Mehra
Confidential Couture

‘It is going to take some time for Indian buyers to get accustomed to...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Robert Brunner

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


news category

Related Categories:
May 2017

May 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search