Cotton Sector Anticipates Growth in 2024 with Government Backing
The Cotton Board of Zambia has unveiled an optimistic outlook for the country’s cotton industry in 2024, attributing the positive forecast to the robust policy framework established in 2023.
In an official statement released by the Cotton Board Communications Unit, the board expresses confidence that industry stakeholders will capitalize on various government incentives designed to spur growth within the sector.
Encouraging increased investment from all players in the cotton industry, the board highlights the government’s commitment to creating an environment conducive to maximizing crop productivity.
Several policies have been introduced to foster the expansion of the cotton sector, signaling a commitment to its overall development.
The board’s projections for 2024 are buoyed by a favorable rainy season in most cotton-producing regions of the country.
Sunduzwayo Banda, Chief Executive Officer of the Cotton Board, notes that cotton, being a drought-tolerant crop, is poised to thrive in such conditions, emphasizing its role as an environmentally friendly crop.
Reflecting on the achievements of 2023, Mr. Banda describes the year as positive, citing notable milestones for the industry.
Leveraging the successes of the past year, the board aims to advance its industry transformation agenda, particularly focusing on the recent cabinet approval to introduce a Bill in parliament amending the Cotton Act of 2005 to enhance industry regulation.
One significant development highlighted by Mr. Banda is the introduction of a 5-year tax holiday on profits for local cotton seed producers and a similar tax holiday for profits from ginning of cotton.
These incentives are expected to attract increased investment, ultimately fostering growth and productivity within the sector.
Encouraging industry players to seize the opportunities presented by the government’s initiatives, Mr. Banda emphasized the importance of taking advantage of the tax holidays to enhance productivity.
He also spotlighted the successful hosting of the national cotton conference, held under the theme of “Sustainable and Inclusive Cotton for All,” which drew participation from stakeholders across the nation.
In a momentous achievement for Zambia, Mr. Banda highlighted the country’s election as the secretariat for the Eastern and Southern Africa Cotton Organization (ESACO).
ESACO, with a mission to increase cotton production, represents a significant milestone for Zambia and underscores its growing prominence in the regional cotton industry.
As Zambia’s cotton industry gears up for a promising 2024, the combination of government support, favorable weather conditions, and strategic initiatives positions the sector for sustained growth and economic impact.
