Togo: Resumption of the cotton activity

The cotton in Togo, took precedence over other cash crops for years. Between 1973 and 1974, domestic production had surpassed 10 000 tons, prompting the government to create the Togolese Cotton Company (SOTOCO), which has supported the promotion of the production.

In 1995, production reached 130 000 tonnes and peaked to 187,000 tons in 1999, before slipping into a long period of steady decline in production estimated at 30 000 tonnes in 2010.

The situation has been painful for the textile industry and the Society for Industrial Promotion and Cotton (SOPIC) had to close. Meanwhile, the New Oilseed Industry of Togo (NIOTO), a subsidiary of the French group GEO-COTON, experienced difficulties with only 33 days of cotton seed crushing activity in 2009. This plant had to recapitalise several times over 9.95 billion CFA since 1995. The instability of cotton production which no longer guarantees a reasonable amount of seeds induced the NIOTO only to eight years of positive activity in 20 years.

Today, in the new vision for revitalising the agricultural sector, the Togolese authorities have undertaken reforms that have led to the creation of the new cotton company of Togo (NSCT). This is a mixed enterprise company owned 60% by the state and 40% by cotton producers’ organizations, which replaced SOTOCO engulfed by debt.

However, it remains to achieve the stated priority by the government in increasing the current production of 30 000 tons to 80 000 tons of cotton in 2011 and 100 000 tons in 2013. This ambition comes amid a prosperous time ahead for the cotton fibber in the international markets where the price is increasing and continues to be a stimulus to the cultivation of cotton.

Regarding the industrial activity, especially in the New Oilseeds Industry (NIOTO), the new situation is positively considered as the inputs like the purchase price of the cotton fibber and production incentives are providing opportunities for a structural rehabilitation. The French subsidiary will keep track on the slope of the increased production in order to stabilise its situation.

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