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Home » LEGAL MATTERS: How cotton contractors can recover debts in foreign currency

LEGAL MATTERS: How cotton contractors can recover debts in foreign currency

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I am extremely grateful for the overwhelming response to my series on pertinent grower contract clauses in the tobacco sector. One of the most common questions I received in the aftermath of the series is whether grower contracts are unique to the tobacco sector.
They are not. In fact, one can enter into a grower contract for whatever agricultural product they wish. I have also been asked if contractors who are not in the tobacco sector can recover debts in foreign currency. The answer lies in the legislative framework governing a particular crop, but the general answer is yes.

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In this piece, I explain how cotton contractors can collect debts in foreign currency, despite the fact that the legal frameworks overarching tobacco and cotton farming are different. I also explain how the entitlement to recover debts in foreign currency is not unique to cotton contractors alone.
Why is agricultural contracting such a big thing?

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