In a major win for Ghana’s cocoa farmers, the Minister for Food and Agriculture, Eric Opoku, has announced that the government will now pay cocoa farmers 70% of the world market price for their produce. This marks a significant increase from the initially proposed 60% and underscores the government’s commitment to uplifting the cocoa sector.
The move aims to motivate farmers, boost cocoa production, and further solidify Ghana’s position as the world’s second-largest cocoa producer. The announcement, made on Saturday via a Facebook post, aligns with the government’s broader efforts to address challenges in the industry and drive economic growth.
Addressing Declining Cocoa Production
Highlighting the urgency of the situation, Mr. Opoku shared concerning statistics about the Cocoa Processing Company (CPC), Ghana’s leading cocoa processor.
“Since 2023, CPC’s production has been on a downward trend. Despite a processing capacity of 64,500 tonnes, the company produced only 6,614 tonnes in 2023 and a mere 2,886 tonnes in 2024,” he revealed. This decline, he explained, stems from reduced cocoa bean output, which has impacted supply to local processors.
In response, the government’s decision to offer cocoa farmers 70% of the world market price is designed to reverse this trend. “This increase is intended to motivate farmers, enhance production, and strengthen Ghana’s position as a global cocoa powerhouse,” the Minister stated.
Beyond Raw Exports: Boosting Local Processing
Despite Ghana’s status as a leading cocoa producer, the country primarily exports raw beans due to limited local processing capacity. This dependency has raised concerns over missed opportunities to maximize revenue from value-added cocoa products.
To address these challenges, the government is taking proactive steps to enhance the cocoa value chain. Plans include strengthening local processing infrastructure and supporting the Cocoa Processing Company to operate at full capacity.
Relief and Growth for Farmers
The decision to raise cocoa payments is expected to provide much-needed relief to farmers, many of whom have faced financial difficulties due to fluctuating market prices and high production costs.
“This initiative is more than a price adjustment—it’s a call to action for sustainable growth in the cocoa sector,” Mr. Opoku emphasized. “By investing in our farmers, we’re investing in the future of Ghana’s economy.”
The government’s efforts are already receiving praise from stakeholders, who believe the new pricing scheme will not only benefit farmers but also enhance Ghana’s competitive edge in the global cocoa market.
As Ghana looks to the future, this policy shift offers renewed hope for a thriving cocoa industry that benefits farmers, processors, and the economy as a whole.
Story by: Mercy Addai Turkson #ahotoronline.com
