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down producer prices. But the recession that hit the cotton market between 1991 and 1993 drastically reduced the activities of the company and led to the abolition of the CSPC in 1993 and the decision to let the prices of the cotton bought by the producers fluctuate freely, following the market. Notwithstanding, economic difficulties have continued to hamper the company to the point that its privatisation is often discussed.
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or CSPC), created in 1968, whose task was to stabilise prices paid to peasant producers by funding operating losses incurred by
Cotontchad. Assuring a constant price to the producer not only helped maintain a certain level of production for Cotontchad but also limited costs to the company by holding
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The CFDT's main role is to market Chad's cotton on the world market, while private banks provide the credits necessary to
Cotontchad and to the peasants to finance the opening of each planting season and especially to provide capital for the import and distribution of fertilisers and insecticides.
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141:. Cotton represents 40% of the country's exports and in past years has been even more dominant.
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Chad Mining Laws and
Regulations Handbook Volume 1 Strategic Information and Basic Law
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It was created in 1971 from the nationalisation of the Franco-Belgian society
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and had the task to collect, buy, gin, transport and export the cotton crop.
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Originally the producers were protected from market fluctuations by the
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company operating in a monopoly regime that buys and exports all the
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or CFDT) 16%, a consortium of
Chadian banks 6% and the
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Compagnie Française pour le Développement des
Textiles
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