“It is great that the market price is high because this will boost
farmers morale to grow more cotton,” Jolly Sabune, the Cotton
Development Organisation (CDO) head, said. ” “..

She explained that the rise was due to increased worldwide demand,
adding that there were shortages in other countries, and “that has
helped us.”
” “..

Recent climate change disasters have wrecked havoc in the leading cotton
producing nations; the US, China and Pakistan. India, the world’s
second largest cotton growing nation, has stopped lint exports to
stimulate local consumer demand and strengthen its textile industry. ” “..

The development comes at a time when many businesses are suffering.
These price increases that haven’t been seen since the American Civil
War (1861-1865) prevented shipments of the crop, according to experts. ” “..

The high prices are expected to rise farmers’ household income and
export revenue as cotton production is hoped to double this year. ” “..

“Despite out-of-season drought in the south-western region, we expect to
produce 130,000 bales this year, up from 70,000 bales last year,”
Sabune said. ” “..

“This will translate to sh90.7b household income. Export revenue will amount to $73.4m (about sh171b).” ” “..

Uganda’s cotton industry is stabilising, especially after the
restoration of peace in northern Uganda, a traditional cotton growing
region
” “..

The cotton regulatory body has intervened to support farmers by
supplying high-quality seeds and pesticides at affordable prices. ” “..

This strategy is aimed at enhancing cotton production to improve household income and reduce poverty.
” “..

“Prices will not drastically fall this year. They will remain higher
than they were previously as the global economy struggles to regain its
balance.” ” “..

But Sabune called for the development of a vibrant spinning and textile
industry to absorb the raw cotton, arguing that value-addition would
ensure better returns to farmers. ” “..

“The high farm-gate prices are discouraging millers to buy cotton from
the farmers,” she warned, adding that there was a need to build small
ginneries upcountry. ”

Date:1/13/2011

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