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Gambia News: Gamcot Owe Farmers Over One Million

Lamin Fatty, Foroyaa

Information reaching Foroyaa has confirmed that GAMCOT, the only Cotton Company in The Gambia, owe farmers over one million dalasis. Mr. Danso, the Manager of the Cotton Company, who spoke to this reporter at his office in Basse Manneh Kunda, said Gamcot owes farmers D1,821,667.25 as at the time of the interview.

Apart from this outstanding balance, he said, the company has already paid D3,425,437.41. He pointed out that farmers on the other hand owe Gamcot D1,604,383.09 representing 27% of the total credit given to farmers between the period 2004-2007. He said the farmers are yet to pay this debt. He said there are farmers whom Gamcot will pay, but they will still owe the company. This he said happened to farmers whose credit inputs exceeds their total production value. According to him Gamcot gives credit inputs which is recovered after production. He pointed out that there is nothing that the company can do because they cannot take the whole money from farmers in the name of recovering loans and leave them empty handed. He said if they do that, then they are not encouraging cotton farmers. He said prosecuting a farmer for failing to pay his debt would cost them a lot. He said Gamcot is doing everything possible to pay farmers. He indicated that the company currently employs over forty Gambian staff whose employment is on permanent basis. He said the salaries of those members of staffs as well as the administrative running cost are dependent on the sale of the cotton. He said ginning has already started and very soon, it would be finished and they will have the opportunity to export it for marketing.