Sodecoton guarantees bumper crop
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LEADING
THE FIELD
Sodecoton manages the majority of Cameroon’s annual cotton output of 230,000 tons. |
Cameroon
produces some 230,000 tons of cotton a year and Sodecoton
manages most of this output. Based in northern Cameroon, the company buys cotton
from 350,000 small farmers and refines and sells it at home and abroad.
Last year Sodecoton made a profit and, as processed cotton is sold in dollars,
also enjoyed high exchange rates against the local currency. This year, dumping
on the commodity markets and large-scale subsidies for U.S. and European Union
cotton farmers have forced prices down to their lowest levels since 1986. There
is too much cotton at a time when world consumption has gone down from 21 million
tons of fiber to about 18 million tons, says Mohammed Iya, Sodecotons
director. We cannot compete with American and European producers. They
can afford to sell at prices that we cant offer. Mr. Iya recognizes
that the International Cotton Advisory Council in Washington D.C. can do little
about the U.S. and E.U. policy as it represents a defence against the invasion
of quality synthetic fibers.
Cameroons Minister of Industrial and Commercial Development, Mello Bouba Maïgari, believes there are ways to turn the tables. Cameroon produces cotton of good quality which permits us to envisage the development of spinning, particularly of unbleached linen which is demanded by U.S. markets. Demands are unlimited in the U.S., he says.
Cameroon
is one of 16 cotton producing countries, but there is little relation between
a Texas cotton farmer, whose land is efficiently irrigated and whose production
is highly mechanized, and a northern Cameroon farmer, who has no shared facilities
with his neighboring producers and is more than likely to be illiterate.
Sodecoton provides its farmers with everything they need but is currently thwarted
by infrastructure problems. It bothers me that all the trucks are reserved
for the oil pipeline operation. There are no trucks reserved to transport fertilizers.
I have some goods stored in Douala but there is no way to transport them to
my cotton farmers, says Mr. Iya. Nevertheless, Sodecoton has been an outstanding
performer and its privatization, first proposed by the government as long ago
as 1990, may be the answer to Mr. Iyas frustrations. We want to
absorb unemployment, we want to stop rural exodus. There is only one way out:
people should develop agriculture. People should come and cultivate cotton.
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