Cottco placed under corporate rescue ahead of marketing season
via NewsDay Zimbabwe5 min read
The Cotton Company of Zimbabwe Cottco has been placed under corporate rescue to address financial challenges and ensure its operations continue ahead of the 2026 cotton marketing season. Cottco board chairman Sifelani Jabangwe stated that the move aims to recapitalize the company and restructure its operating model for long-term sustainability and to protect its assets. The company has faced financial difficulties for several years, exacerbated by legacy debts and poor cotton harvests, including a significant drop in output in 2024 due to an El Ni帽o-induced drought. Efforts to raise capital were delayed by a backlog in audited accounts, which are now being updated. Permanent Secretary for the Ministry of Agriculture, Mechanisation and Water resources Development, Obert Jiri, confirmed that the corporate rescue will not disrupt the 2026 cotton marketing season, and farmers should prepare to market their crops.
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This summary was AI-generated from a story originally published by NewsDay Zimbabwe.
Must ReadZimbabwe aims to achieve US$1.56 billion in tourism revenue by 2026. The country is also seeking to boost its climate recovery efforts with a US$25 million initiative and is exploring membership in the AIIB for infrastructure funding, particularly in the energy sector. Additionally, Zimbabwe is looking to expand rabbit exports to African markets and is working on digitizing the Deeds Office to accelerate property transactions. Political tensions are noted, with concerns about Zanu PF's influence and a potential referendum. The ADF has urged South Africa to cease support for Zanu PF.
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