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Swaziland Cotton Board's failure to acquire land halts talks with IDC
Feb '11
Swaziland Cotton Board has suspended its talks with South Africa's Industrial Development Corporation (IDC) regarding acquisition of a thousand hectares plot for running a cotton ginnery in Swaziland.

The talks which were going on since last season have been discontinued, owing to the Swaziland Cotton Board's failure to acquire a plot with sufficient water supply. The talks would be resumed once again if the Board succeeds in securing the potential plot. Any further developments with regards to this project are subjected to acquisition of the thousand hectares of land with sufficient water supply.

The Board, while searching the land for acquisition was also pursuing the first stage of the Lower Usuthu Smallholder Irrigation Project (LUSIP) with six thousand hectares of land allocation. However, its efforts did not materialize as sugarcane was given the first priority.

But then, the Board is optimistic about getting the land under second phase of the project with intended land allocation of five thousand hectares.

Further to note that, while the Board was seeking a potential investor with technical expertise and financial strength to join it for running a cotton ginnery in the country, it joined forces with IDC.

Prior to this association with IDC, the Swaziland Cotton Board did have an associate but as it left the country, the Board was looking forward to convert the project into a commercial firm. If the Board's expectations from the cotton ginnery turn up completely, it would manufacture thousands of tons of cotton so as to sustain the project.

Fibre2fashion News Desk - India

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