Ghana Cocoa Board (COCOBOD) has announced a significant increase in the producer price of cocoa for the 2023/24 crop year, a move aimed at enhancing the income of cocoa farmers.
According to an official statement from the COCOBOD, the producer price of cocoa has been raised by 58.26%, from GH¢20,928 per tonne to GH¢33,120.00 per tonne.
This translates to GH¢2,070 per bag of 64 kg gross weight, and the new price takes effect from Friday, April 5, 2024.
“The increase in the producer price of cocoa has become necessary to enhance the income of cocoa farmers in line with the vision of the NPP government and in response to the rising prices of cocoa on the international market,” the statement read.
“The welfare of cocoa farmers is dear to the heart of His Excellency Nana Addo Dankwa Akufo-Addo, President of the Republic of Ghana. It is for this reason that since the NPP government assumed office in 2017, the producer price of cocoa has been increased by 336% from GH¢7,600 per tonne in the 2016/17 cocoa season to an unprecedented level of GH¢33,120 per tonne for the rest of the 2023/24 cocoa season,” it added.
In addition to the increase in the producer price, the government has also approved a review of the Buyers’ margin to GH¢2,980.00 per tonne for the rest of the 2023/24 cocoa season.
This move is expected to cushion the Licensed Buying Companies (LBCs) against the increase in finance costs due to the rise in the producer price.
The increase is seen as a significant step towards addressing the challenges faced by the country’s cocoa sector and ensuring the sustainability of the industry.