Cotton farmers in sub-Saharan Africa's biggest cultivator of the soft fiber reduced price demands for this season's remuneration, Bloomberg reports.
The government of Burkina Faso encouraged the agricultural sector to begin the process of generating the soft commodity. But the boycott threat saw the farmers demand 500 CFA francs per kilogram, which was reduced to 255 CFA francs, according to Nouhanga Bonzi, a group spokesman. The group also agreed to reduce demands for fertilizer.
"They must begin production and we will continue discussions to find the solution," Laurent Sedogo, agriculture minister of Burkina Faso, told news service on Monday after meeting with farmers in Bobo Dioulasso, the nation’s second-largest city. "If not, we all lose."
At 8:18 a.m. on Tuesday, cotton futures climbed 1.99 percent, a 0.0306 percent rise to $1.5695 per pound.
Sedogo, when meeting with the farmers, noted the rainy season is set to begin so he asked the farmers to start sowing seeds in anticipation.
Late last month, the nation raised the price farmers would receive for cotton. The increase was 35 percent to 245 francs.
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