Government of Ghana has announced a substantial increase in the Producer Price of cocoa.
The Producer Price of cocoa has been increased by 58.26% from GH¢20,928 per tonne to GH¢33,120.00 per tonne for the rest of the 2023/24 cocoa season [four months] .
This figure translates into GH¢2,070 per bag of 64 kg gross weight and takes effect from Friday, 5th April 2024.
In addition to the Producer Price hike, the Government has also approved an increase in the Buyers’ margin to GH¢2,980 per tonne, aimed at mitigating the financial strain on Licensed Buying Companies (LBCs) caused by the surge in cocoa prices.
This decision comes in the wake of cocoa futures reaching unprecedented highs, with prices surging to $10,080 per metric ton before settling slightly lower at $9,622.
The surge represents a staggering 129% increase in 2024 alone, underscoring the challenges faced by cocoa-producing nations.
A statement signed by Chief Executive of Coconod Joseph Boahene Aidoo on April 5,2024 stated that,under the leadership of President Akufo-Addo, the government has demonstrated its unwavering commitment to the welfare of cocoa farmers.
According to the statement, Since assuming office in 2017, the Producer Price of cocoa has seen an unprecedented 336% increase, rising from GH¢7,600 to GH¢33,120 per tonne for the remainder of the 2023/2024 cocoa season.
This move is expected to provide much-needed relief to cocoa farmers and bolster their livelihoods in line with global market trends, reaffirming the government’s commitment to supporting the agricultural sector and ensuring the prosperity of its citizens.
Source: Mybrytfmonline.com/Obed Ansah
