Production of seed cotton in the current agricultural campaign in Mozambique is expected to total 110,000 tons, compared to 67,000 tons in the previous campaign (2012/13), said the director of the Mozambique Cotton Institute (IAM).
Norberto Mahalambe said that 2014 was the fifth consecutive year of “good prices” in the sector, and it is estimated that Mozambican producers overall would be paid US$40 million, or around half the cost borne by companies responsible for promoting the sector on buying seed and other production factors and on buying the final product.
Meanwhile the seed cotton sales campaign will begin a month earlier than scheduled in order to take better advantage of prices paid on the international market.
“This means that if we manage to sell the cotton before August it will be possible to make use of the high prices in place until then,” said the IAM director, according to Mozambican daily newspaper Notícias.
The government set the minimum price for sale of seed cotton at 11,75 meticals per kilo for first grade cotton and 8.70 meticals per kilo for second grade cotton. (macauhub/MZ)