Home / Knowledge / News / Textiles / Cameroon hikes cotton procurement price
Cameroon hikes cotton procurement price
30
Dec '11
In an effort to deter cotton growers from smuggling their harvested crop to neighbouring Nigeria, Cameroon' state firm SODECOTTON has raised its procurement price of raw cotton from last season's 200 CFA francs per kg to 255 CFA francs (US$ 0.5) per kg, a rise of 27.5 percent.

SODECOTTON said the move is aimed at discouraging illegal export of raw cotton to bordering Nigeria in expectation of higher returns there.

It said Cameroon farmers illegally exported around 16 percent of their last season's total production to Nigeria, where they reaped almost double the prices for their produce as compared to domestic market.

The state firm pre-finances the farmers' by providing them fertilizers, seedlings and other inputs. In exchange, the farmers enter into a contract for selling their produce to the firm.

However, the farmers breached this agreement and preferred to illegally ship out their produce to Nigeria in expectation of better returns, which caused SODECOTTON to incur a loss of around 24 billion CFA francs (US$ 47.37 million) this year.

Further, looking forward to enhance its production, SODECOTTON intends to expand its pre-financing fund from 24 billion CFA francs to 33.8 billion CFA francs during the current season.

According to official statistics, Cameroon's raw cotton production grew by 47 percent to 161,800 tons during 2010-11 , and with the introduction of new high-yield varieties, the production is expected to increase to 185,000-200,000 tons this season.

Presently around 200,000 peasants engage in cotton cultivation in Adamawa, North and Far North regions of the west African country.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 26th May 2017

Lenzing unleashes new eco-friendly fibre

There's a new eco-friendly fibre on the anvil—Austrian speciality...

Apparel/Garments | On 26th May 2017

Benetton seeks approval for FDI in single-brand retail

Global fashion brand Benetton Group, has sought Indian government's...

Apparel/Garments | On 26th May 2017

Walmart to conduct GST workshops for SME suppliers

With the objective of supporting its small and medium-sized (SME)...

Interviews View All

Abhishek Samdaria
Reflete

GST will certainly reduce a lot of paperwork in future

Riddhika Shah
SS Homme

'Worsted wool is the ideal fabric for menswear'

Nitin Soni
Dolphin Jingwei Machines

Taxation policies need to be made simpler

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Mike Hoffman
Gildan Activewear SRL

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

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


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
May 2017

May 2017

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

SUBSCRIBE


Browse Our Archives

GO


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