(Business in Cameroon) - Facing fluctuation in cotton prices on the international market, a situation that generally harms farmers who are underpaid for their work, Société de développement du coton (Sodecoton) plans to create “The Price Risk-Management Fund for the Cameroonian Cotton Sector (FGRPC-C)”.

A kind of price stabilisation fund, the FGRPC-C, which will be jointly managed by Sodecton and the Cameroon National Confederation of Cotton Producers (CNPC-C), is “intended to guarantee a minimum price for cotton seeds in the event of a sharp decline in cotton fibre prices” on the world market.

Although the public agro-industrial company has not revealed much about the implementation of this fund, which will be one of the “priority projects” of the company’s management, FGRPC-C is good news for the 250,000 farmers who work with Sodecton in northern Cameroon.

Commodafrica recently revealed that global cotton prices “have fallen by 30% since 2013.” This situation is seriously depleting the revenue of cotton companies and farmers of this white gold.