Developing world farmers priced out of world cotton market

Anna:
February 27th, 2007

cotton.jpgThe Kenyan press reported this week that:

“continued synthetic competition, diminishing world prices, introduction of cheap imports of second hand clothes and diminished cotton profitability” were amongst factors that dealt a blow both to cotton production, and the textile and clothing industries.

Massive subsidies given to US farmers by their government, mean that developing world farmers are priced out of the world cotton market. Unaffordable chemicals and a lack of processing plants - “ginneries” - make the position of a cotton farmer in West Africa or Uzbekistan (the biggest producers after the US) even more precarious. Add to that political instability, lack of financial backing and infrastructure problems and you’ve got a recipe for an unenviable way of making a living.

But the Kenyan government is leading the way in addressing the problem, recently launching the ‘Kenya Vision 2030′ campaign. Cotton does well in low-rainfall areas, so could provide a lifeline to the 80 percent of Kenya which is classed as semi-arid. Meanwhile back on our side of the rich-poor divide, as consumers we can choose to buy Fair Trade cotton where possible and get involved in campaigns to eradicate unfair competition in the world cotton market.

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