Misr Cotton Trading and Ginning Company, an affiliate of the state-owned Holding Company for Cotton, Spinning and Weaving, held on Sunday the first auction for the cotton produce in Kafr el-Sheikh Governorate.
The auction came in application of the new cotton trading system for the 2021-2022 season around the nation.
Around 4,900 quintals of cotton were traded and sold during the auction which involved the cotton farmers and the companies offering to buy the cotton only, eliminating the role of cotton intermediaries altogether.
The cotton was auctioned for between 4,540 Egyptian pounds (around $293) and 4,590 pounds (roughly $296) a quintal. Six companies won the auction.
Cotton farmers delivering their output had to place this output in jute and cotton bags to keep the cotton clean.
They brought the cotton to collection points themselves, doing without intermediaries for the first time in the national cotton trade.
The new system allows the farmers to sell their produce in public to the highest bidder.
Discussion about this post