• Fri. May 24th, 2024

COGERCO is a bankrupt company


Aug 16, 2021

BUJUMBURA August 16th (ABP) – The Minister of the Environment, Agriculture and Livestock, Déo Guide Rurema, indicated during a press conference held on Thursday August 12 in Bujumbura that the Cotton Management Company (COGERCO) has a huge deficit of 4 billion BIF.

According to him, an audit of the company will soon be able to determine what remains to him as capital, that will make it possible to begin negotiations with Afritextile to see in which framework these two companies can continue to collaborate.

Note that on the institutional level, COGERCO was created in 1947, and was called the Cotton Reserves Management Committee. Its mandate was to popularize cotton production techniques, organize producers and collect seed cotton. Around the 1980s, this company, which worked in the natural region of Imbo, decided, under the impetus of the public authorities, to extend cotton cultivation to the region of Moso in order to increase the foreign exchange income of the country. Thus, before 1983 this company was able to produce more than 15 thousand tons of cotton.

With the creation of the Bujumbura Textile Complex (COTEBU) in 1984, COGERCO, which became the cotton management company, an industrial and commercial establishment, established relations with this company.

The cotton sector in Burundi experienced its short-lived peak because it fell with the political crisis of 1993 followed gradually by the abandonment of this crop by farmers, the reduction of arable land following demographic pressure, not to mention competition with increasingly remunerative food crops.