Reports indicate that last year Tanzania generated close to $81.52m from cotton exports.
Of the harvest, 80% of is exported to Asia.
The Tanzania Cotton Board (TCB)'s Ag Director General, Mr. Gabriel Mwalo told East African Business Week in Dar es Salaam that cotton production has also shot up by 100,000 tons a year.
He explained that 355,000 tons of cotton were produced in the season year 2012/13 compared to 255,000 tons that were recorded for the 2011/12.
"The increase in cotton farming is attributed to the motivation given to farmers. Government subsidies as well as increase in prices at world market," Mwalo said.
The cotton sector in Tanzania is a major source of employment and livelihood. It employs about 500,000 rural households.
Production is primarily by smallholder farmers owning between 0.5 to 10 acres (Average of 1.5 acres) prevailed by handwork based and rain fed.
The total land under cotton cultivation is at 400,000 to 500,000 ha characterized by high fluctuations in production.
Mwalo laments that in order to stabilize prices of the cash crop, TCB has hatched a plan to influence investors and venture into the manufacturing industry.
According to him, among the serious challenges facing cotton production are the poor input supplies, farmers being dependent on rainfall as well as the use of a hand hoe.
The cotton growing area is divided into two areas, Western Cotton Growing Area (WCGA) and Eastern Cotton Growing Area (ECGA).
The WCGA harbors regions of Mwanza, Shinyanga, Singida, Mara, Kagera and Tabora producing 95% of the cotton, while ECGA has Morogoro, Manyara, Tanga and Kilimanjaro with a low production of 5%.
The Secretariat forecasts global cotton mill use to rise by 3% in 2012/13 to 25.0 m tons, driven by Asia. Rising mill use and lower cotton prices could fuel a rebound in world cotton trade in 2012/13.
Imports are expected to jump by 9% to 8.4 m tons. Chinese imports could continue to increase to 3.6 m tons, as the gap between production and consumption is projected to grow large in 2012/13.
Exports of cotton from the United States could rebound to 2.8 m tons as a result of higher production, after a sharp drop this season.
Source :http://allafrica.com