The investments of farmers at Mmofra, a cocoa growing community in the Amenfi West District of the Western Region, are going to waste due to the deplorable nature of the roads linking the town to the nearest market centre.
The situation had made it impossible for farmers to transport their cocoa and other farm produce to Mumuni Camp, the closest market centre, Mr Joseph Owusu, an opinion leader and cocoa farmer, told the Ghana News Agency on Friday.
He said: “The cocoa buying companies have stopped coming to the community to purchase our cocoa because of the bad nature of the road”.
“Though the community is one of the highest producers of cocoa in the region, produce buyers hardly purchase our cocoa because they cannot come here.”
Mr Owusu said traders, especially foodstuff dealers, who managed to go to the town with hired cargo trucks took advantage of the farmers inability to convey their produce to the market and offered prices below the realistic market value.
He said they had no choice but to agree to those prices to prevent their produce from getting rotten and incurring huge financial losses.
Mr Owusu said the situation had adversely affected their socio-economic lives, with parents and guardians finding it difficult to finance their children and wards education.
Madam Elizabeth Acheamotah, a cocoa famer, said the road was so bad that only tractors, motorbikes and tricycles could ply it,” adding: “The road has been in that state for more than eleven years.”
She said the fares charged by the tricycle, popularly called ‘Aboboyaa’ were based on the number of hours spent on the road, which also affected their health due to its bumpy nature.
“It takes about three to four hours to cover the distance, though it should have been shorter time than that if the road were in good shape,” she added.
Some residents who spoke to the GNA pleaded with the government through the District Assembly and the Regional Coordinating Council to facilitate rehabilitation of the roads to save them from their predicament.
Niche Cocoa Industry, Ghana’s top privately owned cocoa processing firm, has fed pupils of Aponoapono M/A basic school with cocoa beverages to encourage local consumption of cocoa products.
The school feeding initiative, unveiled on Tuesday in the Eastern region town of Aponoapono in conjunction with Zotter and supported by Agro Eco and ABOCFA, will see the school’s 160 pupil population fed with cocoa drinks at least twice a week.
Mrs. Gladys Amoah, Managing Director, Niche Confectionery Ghana Limited, said the initiative was launched to increase cocoa intake by providing children with products made of pure Ghana cocoa enriched with vitamins and minerals.
She said the collaboration agreement was the outcome of a Memorandum of Understanding signed on April 19th between Niche and Ghana Education Service on working closely with schools and teachers to ensure children in cocoa-growing communities benefited from their parents’ products.
“Our focus has been on basic school children because we know that if a child gets a decent meal at an early age, they can concentrate and focus on school and get things going,” she said.
She said the school children would be fed twice a week, adding, “You can’t teach a hungry child, but we can help support drive nourishment and nutrition in schools and also promote school enrolment through feeding of children.”
The long-term goal of the programme is to potentially establish a sustainable cocoa ecosystem that motivates continued cultivation of the cocoa crop and sustain Ghana’s economy, which has been heavily reliant on cocoa over the years.
Mrs Martha Agyeiwaa Addo, Headmistress of Aponoapono M/A Primary School, expressed optimism that the cooperation would have a substantial influence on the lives and performance of the pupils since the initiative was expected to boost school enrolment.
“As of now, we have 160 [children] and you know that children like places where food is shared,” she explained. “This [cocoa drink] is very nutritious, and it will improve their academic lives as well as their health.”
Mrs Addo said that many of the children lacked the standard three-square meal a day, so the initiative would have a significant impact on enrolment and retention, hence the need to expand the programme.
“As our enrolment grows, we will require more so that the children will come to school, stay in school, and successfully complete the basic school,” she added.
She said that the school nurse at Aponoapono CHPS Compound would take frequent records of the children’s weight and height to track their ageing as they consumed the cocoa drinks.
“We’ll record it halfway and then at the end of the year.”
Niche produces high-quality semi-finished cocoa products and confectionery for the local and global consumers, chocolate, ice cream and baking industries.
Ghana’s cedi slumped to the world’s worst-performing currency to the dollar as wait-and-see investors continued to squeeze foreign capital into the west African country before its deal with the International Monetary Fund(IMF).
The currency of the world’s second-biggest cocoa producer depreciated 2% on Monday to 11.2625 per dollar, taking its losses this year to 45.1%, the most among 148 currencies tracked by Bloomberg.
The currency that derived its name from ‘sedie’, the local Akan language name for cowrie shell, switched position with the Sri Lankan rupee, which is now the second worst performer with a 44.7% drop to the greenback this year.
Ghana started engaging with the IMF in July but only began formal negotiations for an extended credit facility program with the lender last month.
The country is hoping to receive up to $3 billion in loans over three years under the arrangement to spur its finances and support the balance of payments.
Ghana reversed course to seek IMF help after homegrown policies, including cutting 2022 discretionary expenditure by up to 30%, failed to stem a selloff in its international bonds.
The premium investors demand over US Treasuries to hold Ghana debt has widened to 2,669 basis points.
A new video has emerged of a farmer standing in water at the level of his chest, on his farmland, as he bitterly complains about the devastating effects of galamsey in the country.
The man, who explained that he campaigned passionately for the New Patriotic Party (NPP) to win political power, expressed his disappointment at how badly the situation of small-scale illegal mining has been.
He also painted a picture of how much damage the activities of galamsey have caused to their livelihoods, as well as their farms.
“In the era of the NPP, things have deteriorated so badly. Look at the cocoa trees I have planted for close to 13 years. To think that we worked for the NPP to come to power to make things better, then we should have just allowed the NDC to stay. Look at what galamsey has done to my cocoa farm..
“Since we came to meet our forefathers on these lands, even when it floods, it does not come here… look at all these cocoa trees on about 10 acres of land that has been destroyed by water. Why? If this was what it was, then we should not have even gone into this type of farming,” he lamented.
The man continued that there was even a time when they were unable to even salvage any of their harvested cocoa beans because the flood waters had washed through their lands.
He further regretted giving all of his energy and time to working for the NPP to come into office, with the hope that their coming would help make his life better.
“We even had cocoa bags numbering about ten bags here but they have all been washed away, and the little that was left behind, we came by only to see that it had also been washed away. Is this how we will continue to live on this land?
“We all thought that we were helping the NPP to come to power so that our lives would be comfortable, but if we knew this is how it would come about, then what was the benefit? Since they came into power, galamsey activities have go on and on such that immediately there is small rain, then it rushes through our cocoa farms. The damage is all over this area,” he said.
It is, however, unclear which part of the country the man was speaking from, but there is no doubting the extent of the damage that the activities of people engaged in the illegal trade in small-scale mining (galamsey) have caused to the environment in recent years.
Galamsey, as it is widely known, has become a matter of great concern for many, with traditional rulers, politicians, social groups, and nearly every Ghanaian making it a point to contribute to discussions or calls for the menace to be stopped.
The infiltration of foreigners, especially Chinese nationals, into the illegal trade, with the use of their heavy equipment, has further escalated the destruction of the mining activities in the environment.
Ghanaian owned Niche Cocoa Industry Limited is set to gain a foothold in the United States’ market in a massive investment drive.
More than two dozen workers will work on its first North American facility on a 44,00-square-foot space at the Franklin Business Park located at 9705 S. Oakwood Park Drive.
The project will be the largest food and beverage investment by an Africa-based company in the history of the U.S and the largest Ghana foreign direct investment ever in Wisconsin, according to the Wisconsin Economic Development Corp. (WEDC).
“Niche Cocoa’s historic investment in Wisconsin is an unmistakable signal to other companies across Africa and around the world — the United States is open for business.”
Headquartered in Tema, the Company is the largest Cocoa processor in Ghana, partnering with Milwaukee-based Omanhene Cocoa BeanCompany, on the project.
Founded by Steve Wallace, Omanhene Cocoa Bean Company pioneered the production of single-origin, bean-to-bar chocolate manufactured in Ghana.
Mr Edmund Poku, the Founder of Niche Cocoa, said, “I will like to say a big thank you to everybody here. You have made this to be a success story, and have welcomed us to your beautiful State.”
He said:“The Cocoa industry is a $100 billion industry, of which Ghana and the Ivory Coast is getting $6 billion. By adding more funding to it, Africans will (benefit) from more foreign investment.”
He said for the United States, it would bring in foreign direct investment, and it brings the technical know-how of how to process chocolate into the country.
“We believe that by coming here we will produce one of the best chocolates … We are bringing the taste of Ghana to Wisconsin,” he added.
Mr Poku said part of what attracted the Niche Cocoa to Wisconsin was the dairy industry, and future hopes of creating chocolate beverages in the United States.
“We are happy to welcome Niche Cocoa to the Franklin Business Park, joining several other well-known food processors/manufacturers and equipment manufacturers.”Mr Franklin Mayor Steve Olson, Mayor of the City of Franklin, said.
He said “Niche Cocoa continued Franklin’s long history of welcoming international corporations to our fast-growing community. “
“Niche recognizes our great location, highly skilled workforce and our great business climate and quality of life for their employees,” he added.
At its Franklin Business Park facility, which is expected to be operational by December or January, the company will take imported Cocoa cake and European food processing equipment to turn the brick-like cakes into cocoa powder.
That powder will then be available for nationwide distribution to be used by a variety of food makers for everything from chocolate bars to ice cream.
Mr Wallace, touring of the facility, explained that the operation would likely process about 1,200 containers of Cocoa cake each year.
He said the cake would travel to the East Coast of the U.S. via boat and then be transported to Chicago by rail.
“Together, we’re creating cocoa products and compelling employment in both the U.S., and Ghana. ” Mr Wallace said.
The Company plans to manufacture finished chocolate at their Franklin operations sometime in 2023.
He said that process would use high-tech machinery to combine the cocoa butter and cocoa liquor produced in Ghana to produce chocolate bars for the other food processers.
The dollar has hit the ¢11 to $1 mark as some forex bureaus in parts of Accra are selling a dollar at an average of ¢11.2 on Saturday, October 8, 2022.
Checks by Joy Business indicate that the demand for the dollar keeps surging, as there is very little dollars in circulation.
Some forex bureau operators who spoke to Joy Business on condition of anonymity said the recent action by the Bank of Ghana has yielded little return.
According to them, there are no dollars in circulation.
But, they hope the inflows from the $1.13 billion cocoa syndicated loan will help improve supply and slow down the rate of depreciation of the currency. The first tranche is expected by the end of this month.
On the interbank market, the Bank of Ghana quoted the dollar at 9.63 (selling) on Friday, October 7, 2022.
Meanwhile, the cedi is also not faring well against the Pound and Euro.
It is going for ¢12.5 to the Pound and ¢10.57 to the Euro respectively.
Analysts say the local unit continues to post heavy losses on the interbank market as unrelenting foreign exchange demand continued to weigh down the cedi against the dollar.
Demand exceeded supply by last BoG Forex Forward Auctioning
The last Forex Forward by the Bank of Ghana indicated that demand exceeded supply by $75.25 million in the latest auction.
This is compared with the $82.75 million recorded a month ago.
Cedi loses 40% in value to the dollar – Bloomberg
Bloomberg quotation had earlier put the depreciation of the Ghana cedi at 40.05% in value to the US dollar in nine months of 2022.
This ranked it as the second worst-performing currency in the world in the 147th position, according to Bloomberg.
Also, this decline in the local currency against the American currency is the worst in over three decades.
Cedi loses 37.5% in value to a dollar as of September 30, 2022 – BoG
However, the Bank of Ghana said the Ghana cedi depreciated by 37.5% to the US dollar as of the end of September 2022.
At the same time, the cedi had depreciated by 24.1%, and 27.5% against the Pound, and Euro.
Attempts to politicize cocoa prices, according to COCOBOD’s head of public affairs, Fiifi Boafo, will not be beneficial to Ghana.
The Ghana Cocoa Board’s (COCOBOD) Fiifi Boafo, the director of corporate affairs, has warned Cassiel Ato Forson, the ranking member of the parliament’s finance committee, to refrain from any attempts to politicise the cost of cocoa.
Ato Forson said the 21% increase in the producer price of cocoa, which has been pegged at GHC800 per bag is too small.
Talking to the sit-in host of The Asaase Breakfast Show on Thursday (6 October), Boafo said such utterances will not inure to the benefit of Ghana.
“Ato Forson said the cocoa day event that was organised, was poorly attended, an event that had over 2,000 persons present, that tells you what he sought to portray,” Boafo said.
“He made a point that, if you juxtaposed what Ivorian farmers are receiving and what Ghanaian farmers are receiving, we should pay our farmers more.
“I don’t think we should politicise pricing of cocoa because if you do so, it does not inure to the benefit of our country,” Boafo said.
Cocoa producer price increased by 21% per tonne
Meanwhile, the government has increased the producer price of cocoa to GHC12, 800.00 per tonne, which translates into GHC800 per bag of 64 kg gross weight for the 2022/ 2023 cocoa crop season.
This represents an increase of 21% from GHC10, 560 per tonne, taking effect from Friday 14 October 2022.
Announcing the new cocoa price, Dr Owusu Afriyie Akoto, Minister for Food and Agriculture, and chairman of the Producer Price Review Committee (PPRC), said that the new producer price of cocoa represents 89.99% of the net freight on board (FOB) value.
“The 21% rise in the producer price of cocoa is a testament to the government’s resolve to ensure farmers earn a decent income and make cocoa farming lucrative. The government will continue to implement initiatives to build a robust, resilient, and sustainable cocoa industry where cocoa farmers and their communities will thrive,” Afriyie Akoto said.
Last year, government maintain the producer price at GHC660 as the farm-gate price for a bag of 64kgof cocoa for the 2021/2022 crop season. This was in spite of the fall in the world market price of cocoa, among other factors, such as the effects of the COVID-19 pandemic on the global economy.
In effect, the decision maintained the producer price at GHC105, 600 per tonne, representing 87.15% of the FOB value, as a demonstration of its commitment to improving the livelihoods of cocoa farmers.
Mass spraying
The minister assured farmers that government will continue to assist cocoa farmers through the mass spraying program to control pests and diseases and the rehabilitation of infected cocoa farms.
In order to boost farm productivity, the government will also help cocoa farmers by making necessary inputs like fertilizers available for purchase. The government is committed to continuing to offer high-yielding, early-bearing, and drought-tolerant planting materials that have received certification.
“The government will also assist cocoa farmers by making the requisite inputs such as fertilizers available for farmers to buy to increase farm productivity. Government is committed to continuing to supply certified planting materials that are drought tolerant, early bearing and high-yielding,” he said.
EU due diligence
To help the country comply with EU due diligence requirements, the government is developing the Cocoa Management System (CMS) through COCOBOD.
The minister noted that the government is still committed to preventing child labour and deforestation from occurring during the production of Ghanaian cocoa.
After its completion, the CMS will create a legally binding national traceability system that will be open and accountable. By doing this, it will be possible to trace every single batch of Ghanaian cocoa beans back to the farm where they were grown. According to the EU’s due diligence requirements, this is a crucial requirement.
“Once completed, the CMS will establish a national mandatory traceability system that will be transparent and accountable. This will ensure that all Ghana cocoa beans are traceable from the port of shipment to the plot of land that produced the beans. This is a key requirement under the European Union Due Diligence requirements,” he said.
“I am pleased to inform you that the first component of the CMS, which involves the establishment of a reliable farmer database (farm mapping and enumeration), is expected to be completed by the end of October 2022,” the minister stated.
Government has increased the Producer Price of Cocoa by 21 per cent for the 2022/2023 crop season.
This translates into GH₵12,800 per metric tonne up from GH₵10,560. The new price takes effect from Friday October 7, 2022.
Dr. Owusu Afriyie Akoto, the Minister of Food and Agriculture announced the price at a press conference in Accra.
The producer price represents 89.99 per cent of the net FOB value. This figure translates into GH¢800 per bag of 64 kg. gross weight.
He said the 21 per cent rise in the producer price of
cocoa was a testament to the Government’s resolve to ensure farmers earn a decent income and make cocoa farming lucrative.
The Minister said the Government would continue to implement initiatives to build a robust, resilient, and sustainable cocoa industry where cocoa farmers and their communities would thrive.
He said to ensure a decent standard of living for Ghanaian cocoa farmers after retirement, the Government would from November 2022 move from the pilot phase to the implementation phase of the Cocoa Farmers pension scheme.
Dr Akoto said the Committee had also approved the rates and fees for all other stakeholders in the supply chain.
These include the Buyers margin, Hauliers’ rate, warehousing, and internal marketing costs, as well as fees for disinfestation, grading and sealing and scale inspection.
He said the Government would continue to support
cocoa farmers through the pests and diseases control programme (Mass Spraying) and rehabilitation of diseased cocoa farms.
“The Government will also assist cocoa farmers by making the requisite inputs such as fertilizers available for farmers to buy to increase farm productivity,” he added.
The Minister said the Government was committed to continuing to supply certified planting materials that are drought tolerant, early bearing and high yielding.
He said the European Union would soon legislate Regulations on due diligence on Deforestation and Forest Degradation and this placed enormous responsibility on the country to ensure that cocoa was sustainably produced in Ghana.
“Issues of deforestation and forest degradation remain important in meeting the EU due diligence requirements,” he said.
He said the Government had not relented in ensuring that cocoa produced in Ghana was free from deforestation and child labour.
Dr Akoto said the Government through COCOBOD was developing the Cocoa Management System (CMS) to enable Ghana to meet the EU due diligence requirements.
Once completed, the CMS will establish a national mandatory traceability system which will be transparent and accountable.
This will ensure that all Ghana cocoa beans are traceable from the port of shipment to the plot of land that produced the beans.
He said this was a key requirement under the European Union Due Diligence requirements.
The Minister said the first component of the CMS, which involved the establishment of a reliable farmer database (farm mapping and enumeration), was expected to be completed by the end of October 2022.
He assured stakeholders that COCOBOD had made available funds, jute sacks and related logistics for the smooth take-off of the 2022/23 Main Crop Season.
Government has increased the producer price for cocoa beans by 21 percent to ¢800 for the 2022/2023 cocoa crop season.
This is lower compared to Ivory Coast which pegged its price at about ¢858 for the same season. Until the announcement, a bag of cocoa was selling for ¢660 a bag in Ghana.
The new pricing regime will take effect from Friday October 7, 2022 .
Speaking at a press briefing, Minister for Agriculture, Dr. Owusu Afriyie Akoto said the cedi depreciation against the dollar prevented government from increasing the figure beyond 21 percent.
“We are all aware of the depreciation of the cedi this year. This means government will have to take some cut,” he said.
“We are pleased to announce that Government has increased the producer price of cocoa by 21% from ¢10,560 per tonne to ¢12,800.00 per tonne. The producer price represents 89.99% of the net FOB value. This figure translates into ¢800 per bag of 64 kg. gross weight and takes effect from Friday, 14th October, 2022”, he added.
Dr. Akoto said the 21 percent rise in the producer price of cocoa is a testament to government’s resolve to ensure farmers earn a decent income and make cocoa farming lucrative.
He stressed that government will continue to implement initiatives to build a robust, resilient and sustainable cocoa industry where cocoa farmers and their communities will thrive.
“To ensure a decent standard of living for Ghanaian cocoa farmers after retirement, Government will from November 2022 move from the pilot phase to the implementation phase of the Cocoa Farmer’s pension scheme. The Scheme remains an unprecedented achievement under His Excellency Nana Addo Danquah Akufo Addo”.
Other rates
Touching on other rates, Dr. Akoto disclosed that the Producer Price Review Committee (PPRC) also approved the rates and fees for all other stakeholders in the supply chain.
“These include the Buyers’ margin, Hauliers’ rate, warehousing and internal marketing costs, as well as, fees for disinfestation, grading and sealing and scale inspection,” he announced.
Government support to farmers
Dr. Akoto assured that government will continue to support cocoa farmers through the pests and diseases control programme and rehabilitation of diseased cocoa farms.
He stated that government will also assist cocoa farmers by making the requisite inputs such as fertilizers available for farmers to buy to increase farm productivity.
“Government is committed to continuing to supply certified planting materials that are drought tolerant, early bearing and high-yielding,” he said.
The Akufo-Addo government has announced a 21 percent increase in the producer price of cocoa.
The announcement comes after the minority caucus of Parliament warned Ghana Cocoa Board (COCOBOD) and thus the government against any attempt to short-change cocoa farmers by announcing prices that are below GH¢1000 per a bag of cocoa.
“After all this uncertainty, government should not announce any price below GH¢1000 per bag, or GH¢16,000 per tonne. Ghanaians are all witnesses to the historic depreciation of the Cedi. In 2021, COCOBOD used an exchange rate of GH¢6 to $1.
“We wish to remind them that the dollar is now more than 10. Even at the dollar equivalent price, farmers and all stakeholders including LBCs and Haulers should receive higher prices and margins this year,” parts of a statement issued by minority’s Ranking Member on the Finance Committee of Parliament, Dr. Cassiel Ato Forson, on Wednesday, October 3, 2022 read.
In a statement issued, on the same day, by the Minister of Food and Agriculture, Dr. Owusu Afriyie Akoto, the government said that the 21 percent increase translates to GH¢800 per bag of 64 kg. gross weight and takes effect from Friday, October 14, 2022.
“The 21% rise in the producer price of cocoa is a testament to government’s resolve to ensure farmers earn a decent income and make cocoa farming lucrative. Government will continue to implement initiatives to build a robust, resilient and sustainable cocoa industry where cocoa farmers and their communities will thrive.
“To ensure a decent standard of living for Ghanaian cocoa farmers after retirement, government will from November 2022 move from the pilot phase to the implementation phase of the Cocoa Farmer’s pension scheme.
“The Scheme remains an unprecedented achievement under His Excellency Nana Addo Danquah Akufo Addo,” parts of the statement read.
Read the full statement below:
REVIEW OF THE PRODUCER PRICE OF COCOA FOR THE 2022/23 COCOA SEASON WEDNESDAY, 5TH OCTOBER 2022
Introduction
The Producer Price Review Committee (PPRC), under the Chairmanship of Hon. Dr. Owusu Afriyie Akoto, met and agreed on the Producer Price of Cocoa for the 2022/2023 season which opens, Friday, 14th October, 2022.
Producer Price
We are pleased to announce that Government has increased the producer price of cocoa by 21% from GH¢10,560 per tonne to GH¢12,800.00 per tonne. The producer price represents 89.99% of the net FOB value. This figure translates into GH¢800 per bag of 64 kg. gross weight and takes effect from Friday, 14th October, 2022.
The 21% rise in the producer price of cocoa is a testament to Government’s resolve to ensure farmers earn a decent income and make cocoa farming lucrative. Government will continue to implement initiatives to build a robust, resilient and sustainable cocoa industry where cocoa farmers and their communities will thrive.
To ensure a decent standard of living for Ghanaian cocoa farmers after retirement, Government will from November 2022 move from the pilot phase to the implementation phase of the Cocoa Farmer’s pension scheme. The Scheme remains an unprecedented achievement under His Excellency Nana Addo Danquah Akufo Addo.
Other Rates and Fees
The Committee has also approved the rates and fees for all other stakeholders in the supply chain. These include the Buyers’ margin, Hauliers’ rate, warehousing and internal marketing costs, as well as, fees for disinfestation, grading and sealing and scale inspection.
Government Support and Commitment
Government will continue to support cocoa farmers through the pests and diseases control programme (Mass Spraying) and rehabilitation of diseased cocoa farms. Government will also assist cocoa farmers by making the requisite inputs such as fertilizers available for farmers to buy to increase farm productivity. Government is committed to continuing to supply certified planting materials that are drought tolerant, early bearing and high-yielding.
Ladies and Gentlemen, as you may be aware, the European Union will soon legislate Regulations on due diligence on Deforestation and Forest Degradation. This places enormous responsibility on us to ensure that cocoa is sustainably produced in Ghana. Issues of deforestation and forest degradation remain important in meeting the EU due diligence requirements.
Once completed, the CMS will establish a national mandatory traceability system which will be transparent and accountable. This will ensure that all Ghana cocoa beans are traceable from the port of shipment to the plot of land that produced the beans. This is a key requirement under the European Union Due Diligence requirements.
I am pleased to inform you that the first component of the CMS, which involves the establishment of a reliable farmer database (farm mapping and enumeration), is expected to be completed by the end of October 2022.
Before I resume my seat, I wish to assure all stakeholders that COCOBOD has made available funds, jute sacks and related logistics for the smooth take-off of the 2022/23 Main Crop Season.
The Minority Caucus of Ghana’s Parliament has berated the Ghana Cocoa Board (COCOBOD) for its treatment of cocoa farmers and stakeholders in the cocoa value chain in Ghana.
In a statement issued by its Ranking Member on the Finance Committee of Parliament, Dr. Cassiel Ato Forson, the minority said that farmers and other stakeholders in the cocoa sector are becoming very frustrated with the actions and inactions of the government.
It said that even though the 2022 cocoa season has already started the government has failed to set the price of cocoa.
“Farmers and stakeholders are running out of patience for COCOBOD. Every year cocoa prices are announced at the opening of the season. 1st October is internationally recognised as the start of the cocoa season worldwide as affirmed by the UN body for cocoa, the International Cocoa Organisation – ICCO.
“This year COCOBOD opened the cocoa season without a producer price for cocoa. After wasting scarce resources to organise a cocoa day that, was poorly attended, farmers and stakeholders in the cocoa industry are left in suspense about the price,” parts of the statement read.
The minority also warned COCOBOD and thus the government against any attempt to short-change cocoa farmers by announcing prices that are below GH¢1000 per a bag of cocoa.
“After all this uncertainty, government should not announce any price below GH¢1000 per bag, or GH¢16,000 per tonne. Ghanaians are all witnesses to the historic depreciation of the Cedi. In 2021, COCOBOD used an exchange rate of GH¢6 to $1. We wish to remind them that the dollar is now more than 10. Even at the dollar equivalent price, farmers and all stakeholders including LBCs and Haulers should receive higher prices and margins this year,” it added.
European Union Ambassadorto Ghana, Irchad Razaarly,has assuaged the fears of Ghana over being banned from exporting cocoa beans on the international markets.
Earlier, the Minister for Information, Kojo Oppong-Nkrumah, in a Facebook post, contended that the European Union, through a legislative instrument, intends on banning cocoa from Ghana and some other African countries.
The EU’s legislative proposal aims at curbing deforestation and forest degradation driven by the expansion of agricultural land used to produce specific commodities, namely cattle, cocoa, coffee, palm oil, soya and wood, as part of its efforts to reduce the emission of greenhouse gases.
With the current land degradation through illegal mining and the use of chemical residue that leaches into cocoa, state officials fear Ghana may not meet the requirement of exporting cocoa if the EU’s proposed regulation is implemented.
Contrary to reports of a possible ban on the export of Ghana’s cocoa to the international market, the EU Ambassador to Ghana, Irchad Razaarly, stated that the move must not be seen as a threat to Ghana’s cocoa sector.
Speaking at the second edition of Orange Cocoa Day 2022 in Accra, he said Ghana’s cocoa beans are a much preferred commodity amongst other cocoa producers in Africa.
Mr Razaarly disclosed that the call for more sustainable cocoa production is to “ensure that cocoa and other commodities are produced in a socially environmental sustainable way. This explains EU’s legislation on afforestation and forest degradation and must not be seen as a threat to Ghana’s cocoa.”
“There is no ban on Ghana’s cocoa. On the contrary, we want more of Ghana’s cocoa, and we are insupport of Ghana and Côte d’Ivoire amongst all of the producers who meet these requirements,” he stated.
On his part, the Minister for Lands and Natural Resources, Samuel Abu Jinapor, mentioned that the government, together with the Ghana Cocoa Board, is working to implement feasible policies to combat the degradation of Ghana’s forest reserves.
“We are also implementing the joint frame for action. Which was signed in 2017 with 36 cocoa and chocolate producing companies under the cocoa and forest initiative to halt deforestation and forest degradation in the cocoa value chain.”
He said that under this programme, the “signatory cocoa and chocolate producing companies have committed to sorting cocoa from forest reserves. To support this, the Ghana cocoa board has developed a data management and operational platform consisting of socio-economic data of all cocoa farmers and other key stakeholders in the value chain for the entire cocoa landscape in Ghana.”
The Minister for Food and Agriculture, Afriyie Akoto, has predicted a potential ban on locally produced cocoa on the international market due to illegal mining activities and their effects on Ghana’s extensive forest cover and water bodies.
Dr Afriyie Akotostated that chemical residues such as mercury and cyanide, among others, are affecting the sustainability standards of cocoa beans exported to European countries.
According to him, Ghana risks putting cocoa farmers within the value chain out of business if the current trajectory is not checked.
Expressing his concerns, Dr. Akoto stated that “It is the water pollution, cyanide and other chemicals, mercury that goes into the food chain and ends up in our stomachs. To me, that is the most dangerous part. It is not the quantity, but the negative environmental impact. I am afraid that it may go into the water in the cocoa areas. If we send a consignment of cocoa to, say, Belgium and they test it and find any trace, they could ban our cocoa exports.”
“So it is not so much the impact of the production as to endangering our international trade, and the only thing we have is cocoa. Immediately, the danger of these cyanides and these very dangerous chemicals going into our products, which we send abroad, will endanger our export earnings, which for me, is the biggest concern,” he added.
The conversation about the possible ban on Ghana’s cocoa was triggered by the European Union’s decision to implement a legislative instrument that ensures that goods exported to the international market are harvested, extracted, and processed sustainably.
According to reports, the purpose of the regulation is to minimize the EU’s contribution to global deforestation and to promote the consumption of products from deforestation-free supply chains.
The bill was supported by 453 votes to 57 with 123 abstentions.
The EU Parliament will now start negotiations on the final text with EU member states.
Commenting on the EU’s legislative proposal, Dr Afriyie Akoto fears the activities of illegal miners will hamper the cocoa industry.
This, he believes, will affect the economy at both national and local levels.
Meanwhile, the Information Minister, Kojo Oppong-Nkrumah has beseeched the union to work with African, Caribbean, and Pacific (ACP) countries to prevent its proposed ethical and sustainable supply chain rules from becoming a burden on the local cocoa and coffee industry.
Speaking at a two-day forum on the future of Ghanaian cocoa and coffee value chains under the theme “Alliances in Ghana: Coffee and Chocolate at the Table” in Brussels, Belgium, Mr Oppong-Nkrumah intimated that many exporters of cocoa in Africa will significantly affect their economies.
“By no means, however, should sustainability be used as a pretext to limit market accessibility. The exchange of best practices and technical assistance is necessary so that we can have a win-win situation in all of this.
“Their social reality and cultural context must be considered when designing legislation, so they may meet their demands and not bear a disproportionate burden of complying with the regulation,” he said.
Galamsey fight
The fight against illegal mining has somewhat become a wild goose chase.
Despite measures instituted to nib the canker in the bud, the activities of illegal mining still persist.
According to data from the Ghana Cocoa Board (COCOBOD), several cocoa farms in the Western, Ashanti, and Eastern regions have been destroyed by illegal mining.
In a study conducted in 2019 and 2020, COCOBOD discovered that 19,000 out of over 20,000 acres of cocoa farmland had been destroyed by galamsey activities.
The digging of small working pits and tunnels by miners in search of gold has in the long run destroyed Ghana’s water bodies and farmlands.
A chilling revelation by the Water Resources Commission (WRC) disclosed that about 60 per cent of Ghana’s water bodies have been polluted as a result of galamsey.
As part of efforts to combat illegal mining in Ghana, the government is said to be reviewing security strategies.
According to the Minister of National Security, Albert Kan-Dapaahthe revision, when implemented, will help the government institute strict and robust anti-galamsey policies to weed out illegal mining.
The transformation of Cote d’Ivoire’s cocoa industry was the focus of the 8th edition of the National Cocoa and Chocolate Day which took place in Abidjan this weekend under the theme, ‘Local cocoa processing: opportunities for chocolate artisans’.
With more than 2 million tonnes produced per year, Ivoirian cocoa beans are estimated to account for 45 per cent of world production, generating 40 per cent of the country’s export earnings, and accounting for 15 per cent of national GDP.
‘We are at about 600,000 tonnes in the first phase of cocoa processing, what we call grinding or milling, but we must manage to make finished products that are consumable by the population,’ says Sonore Konan Kouassi, president of the fair’s organising committee.
This was one of the main themes of panel discussions at the event, and the conclusion was that the consumer market does exist.
Chocolate maker, Sonore Yenou Olga, from the brand Tafissa, says increasing the added value to cocoa beans is essential.
‘Our short-term project is to increase the processing capacity. Today, we are up to 500 tonnes of products that we can put on the market, but after that we intend to multiply by 4 or 10,’ she says.
Increase in earnings for farmers
There was some good for planters at the fair with the announcement of a guaranteed increase in remuneration for their beans for the 2022 to 2023 season, from last year’s $1.24 to $1.35.
‘Thanks to the state which has made efforts, but we still tell them to continue because we need to be more autonomous,’ says cocoa farmer Sawadogo Moussa.
While this year’s harvest has been good, a recent World Bank report found that while cocoa plays a central role in the lives of many Ivorian families, more than half of producers live below the poverty line.
Certified origin
While cocoa is a pillar of the local economy, it is subject to the rules of the world market, and is facing increasing pressure to be able to certify the origin of its beans and that the cocoa is produced under ethical conditions.
And the industry is making efforts in this direction, with the development of a multifunctional producer’s card, with a QR code that generates information about the farmer and their land, which includes a visa bank chip that allows them to carry out their commercial operations.
‘Want to trace the product, we want to know exactly which cocoa comes from which plantation in which region. The objective is to know who produces what, and who it passes through before being exported, so that we can reassure the final consumer that our cocoa is produced under ethical conditions,’ says Jérémie Kouassi, Director of Agricultural Development at the Coffee and Cocoa Council.
With the importance of cocoa to the Ivorian economy and society at large, the stakes are high for the industry to make sure it reaches its full potential as an engine of economic development.
President Akufo-Addo has announced plans by the government to upgrade the Kwadaso College of Agriculture in Kumasi, Ashanti Region, to an agricultural university.
He said the government was collaborating with the Mendel University of the Czech Republic to upgrade the status of the Agricultural College.
The President said this at the centenary celebration of the Kwadaso Agricultural College last Friday
With the Kwadaso College established in 1922 to help maintain the then Gold Coast’s enviable position of being the leading producer of cocoa in the world, the President noted that the College has since evolved into a centre of excellence, with increased capacity for training.
According to President Akufo-Addo, “the Kwadaso College of Agriculture can, to date, boast of having trained some one hundred thousand (100,000) young people as agricultural assistants who have since been absorbed by the Ministry of Food and Agriculture, Local Government Service, Ghana Cocoa Board, the Council for Scientific and Industrial Research, as well as the private sector over the years.”
Having produced a significant number of graduates, who have moved on to occupy leadership positions in industry, academia, civil society and entrepreneurship, he noted that “the record of the College in contributing to the human resource development of this country is testament to its strength”.
One hundred (100) years after the establishment of the College, the President stated that the time was ripe to reposition the institution to harness its full potential, and that was why the decision has been taken to upgrade the Kwadaso Agricultural College into an agricultural university, with collaborative support from the prestigious Mendel University of the Czech Republic.
“It is my understanding that the agricultural university will take care of the academic and professional development of our human resource for the agricultural sector. If successful, the plan will include establishing satellite campuses in Ejura and Wenchi Agricultural Colleges,” he said.
The President continued, “The reason why the establishment of this University, dedicated to agriculture, excites me very much is because we will produce the requisite numbers of human resource to support research, impart knowledge and provide leadership in the sector.”
Stressing on the need for the country to scale up consciously the number of middle level professionals who provided hands-on support in the sector, President Akufo-Addo acknowledged the fact that the Kwadaso College of Agriculture, and indeed other colleges, are already laying the foundation for developing such category of human resource, as some graduates of these institutions have begun benefitting from training in Government’s greenhouse internship programme in Ghana and Israel.
“The trainees at such centres are prepared for entrepreneurship by being equipped with academic knowledge and practical skills in greenhouse technology. Once established, the transformed agricultural university and other colleges will serve as incubators for the development of more agricultural professionals in the country,” he said.
The President, therefore, pledged the continous support of Government to make the upgrade of the College into a University a reality, and charged the Ministry of Food and Agriculture to step-up efforts, and strengthen the partnership and collaboration with the Mendel University to realise this vision.
“The collaboration between the Ministry of Food and Agriculture and Mendel University exemplifies the wisdom of collaborating to make our institutions very valuable to our developmental efforts. I am confident that this celebration will ignite that spirit of togetherness and make this a reality,” he added.
Government is set to announce a new price for cocoaearly next week at the opening day of the crop season, as the committee working on the new pricing is yet to conclude its work.
Cocoa farmers in the country have since been urged to help in governments fight against illegal mining by desisting from selling farm lands to illegal miners, popularly known as galamseyers.
According to stakeholders in the sector, the practice if not checked can wipe away all the gains by the cocoa sector.
The government raised concerns about the continuous sale of farmlands, especially cocoa plantations, to illegal miners.
It has become evidently clear that majority of farmers in cocoa-growing areas in the country are now selling off cocoa plantations to illegal miners, who are causing destruction to lands and water bodies.
Speaking at the climax of a 4-day cocoa exhibition in Suhum to mark cocoa day celebrations, the Eastern Regional Minister, Seth Kwame Acheampong noted that “the sale of cocoa lands to illegal miners if not checked has a potential of collapsing the cocoa sector.”
Delivering an address on behalf of the President of the Cocoa and Coffee Farmers Association, Alhaji Abubakari Alhassan appealed to government to intensify the galamsey fight to save the sector.
The Board Chairman of Cocobod, Mr Peter Mark Manu delivering his address disclosed that the implementation of the much-awaited Cocoa Farmers Pension Scheme will begin this month.
He then called on cocoa farmers to “desist from using children as labourers on cocoa farms and stop the sale of cocoa plantations to illegal miners.”
This year’s celebration which has coincided with COCOBOD’s 75th anniversary and as such Okyehene Amoatia Ofori Panyin the Overlord of Akyem Abuakwa who was the chairman at the event called for realignment of interest of Ghana’s interest in the cocoa sector by paying attention to the interest of the cocoa farmer.
The Deputy Minister of Food and Agriculture, speaking on behalf of his boss Dr. Afriyie Akoto called on cocoa farmers to “exercise restraint as government works to announce new cocoa prices early next week.”
The top-earning product among the top 10 items that made up the majority of the nation’s Non-Traditional Export (NTE) revenues last year continued to be cocoa paste.
The product brought in $495.89 million for the nation as opposed to $463 million in 2020, a 7.1% increase.
The lowest earner during the examined year was nonetheless aluminum plates, sheets, and coils, which contributed only $90.98 million.
The top 10 main NTE items, according to a report on “Analysis of Non-Traditional Export Statistics” published by the Ghana Export Promotion Authority (GEPA), were cocoa paste, cocoa butter, cashew nuts, articles of plastic, canned tuna, and natural rubber sheets.
The rest are refined palm olein, iron/steel circles, rods, sheets and billets, cocoa powder and aluminium plates.
The report showed that the total value of the top 10 leading products amounted to $2 billion, representing 62.96 per cent of total NTE earnings of $3.3 billion in the period under review.
Of the total earnings from the NTEs, cocoa paste, which is the biggest earner, contributed 14.89 per cent to the total NTEs while aluminium plates, sheets and coils contributed 2.73 per cent.
Cashew nuts was the only agricultural product that popped up on the list of the top 10 leading products.
Breakdown
Cocoa butter recorded $363.95 million in 2021 against $253 million in 2020, indicating 43.83 per cent, while cashew nuts did $287.46 million as against $252 million in 2020.
Articles of plastics contributed $182 million in the year under review, higher than the $157 million it contributed the previous year, with canned tuna adding $152 million the same year as against $128 million in 2020.
In the same period under review, iron/steel (circles, rods, sheets, billets) recorded $140 million, higher than the $118 million it contributed in 2020.
Natural rubber sheets did $135 million in the year as against $73 million the previous year, while refined palm olein contributed $127 million as against $89 million in 2020. On the other hand, cocoa powder contributed $122 million in 2021 as against $77 million in 2020.
Interventions
With the advent of the National Export Development Strategy (NEDS), Ghana will be embarking on an ambitious leap towards industrialisation and export.
The NEDS seeks to vigorously promote and support Ghanaian manufacturing companies to undertake cocoa processing in Ghana and forward integration towards the selling of liquified chocolate mass or manufacturing of chocolates and chocolate products in the consumer market.
The NEDS, spanning 10 years (2020-2029), seeks to diversify and grow the NTE sector of the economy and places emphasis on providing support for continuous product development.
It seeks to give a significant boost to Ghana’s export volumes by growing NTEs from US$2.8 billion (2020) to US$25.3 billion in 2029.
Freight charges for transporting cocoa from Ghana to all international destinations, with the exception of the United Kingdom, has been increased by five per cent.
Similarly, mega bulk shipments have been increased by 10 per cent for the 2022/2023 cocoa season as agreed by the Cocoa Marketing Company (CMC), Ghana Shippers Authority and 18 shipping lines.
Per the agreement, the rate as calculated per tonne, meant cocoa currently stands at £31.50 to the United Kingdom (UK) for both bagged and bulk, while bagged and bulk cocoa shipped to the Northern Continent stands at €54.02 for bagged and €56.60 for bulk.
For Estonia, it is €61.74 for bagged and €64.70 for bulk; Mediterranean Europe €60.64 for bagged and €63.53, for bulk; Far East, US$100.44/106.09 for bagged and to Brazil US$116.24 for bagged and US$121.78 for bulk.
Subsequently, Bunker (Fuel) Adjustment Factor (BAF) to all destinations apart from UK has been increased by two percentage points from 28 – 30 per cent.
Those were the agreements reached after a meeting at this year’s Cocoa Freight Negotiation Conference held at the Hilton Sorrento Palace, Sorrento, Italy on Tuesday, September 20, 2022.
Global developments in the shipping market, including increasing charter rates, container shortage and rising bunker prices accounted for the new upward rates in freight charges.
Again, the need to keep a competitive freight rate for Ghana’s cocoa, especially in the light of competition from neighbouring countries was considered in the decision making.
Commenting on the recent charges, Mr Vincent Okyere Akomeah, the Managing Director of CM, said he was confident that the agreed rates would be “a win-win for the Government and the shipping lines.”
Mr Akomeah was hopeful of a good cocoa year with the help of key stakeholders such as the Ghana Standard Authority, the shipping lines, buyers and insurers.
Ms Benonita Bismarck, the Chief Executive Officer (CEO) of the Ghana Shippers Authority, expressed appreciation to the shipping lines for their support and cooperation.
She also thanked them for keeping faith with Ghana, promoting trade and serving as trusted conduits between CMC and the buyers for the international transportation of Ghana’s cocoa.
Shipping lines present at the conference included Maersk Line, Mediterranean Shipping Company, ZIM Integrated Shipping Services Ltd, Grimaldi, COSCO Shipping Lines, Messina Lines, Ocean Network, CMA-CGM and Arkas.
“It is hereby notified for general information that purchases of the 2021/2022 Main Crop Cocoa Season will close on Thursday, 26th May, 2022â€, a statement from COCOBOD said.
The main crop season which starts from October to May is the period within which the regulator buys most of the cocoa beans from farmers for export.
This ushers in the Light Crop season which commences from June to September. During this season, cocoa beans are mainly sold to local companies at a discounted rate.
The statement said License Buying Companies will be allowed to obtain returns for the sale of cocoa beans from the interior parts of the country until 2nd June, 2022.
Ignatius Baffour- Awuah, the Minister of Employment and Labour Relations, has charged the newly constituted Board of Trustees for Cocoa farmers Pension Scheme to use their experience to ensure a smooth running of the scheme.
He said experience of the Board was key in managing the affairs of the Scheme to the benefit of the cocoa farmers across the country.
The Minister said this on Wednesday when he inaugurated a 10-member Board of Trustees for the Scheme in Accra.
The Scheme aimed at ensuring a decent pension for cocoa farmers, improving their welfare and making cocoa farming attractive to the younger generation for the sustainability of the cocoa sector.
The COCOBOD Law 1984(PNDC Law 81) enjoins the Board of Directors of COCOBOD to implement a contributory insurance and welfare scheme that provides a decent pension for cocoa farmers.
In furtherance to the provision of the Law, President Akufo-Addo in December 1, 2020 launched the Cocoa Farmers Pension Scheme in Kumasi as a demonstration of his commitment towards improving the welfare of Cocoa farmers in the country.
Mr Awuah said the Scheme was a blessing because the cocoa farmers have served the country over the years to export the produce and earn foreign income.
He said the Board was making history to honour the gallant cocoa farmers for their contributions to the development of the country.
The Minister said research revealed that most workers spent major part of their salaries on their aged parents, adding that the scheme would afford the retirees to have some funds for their restful periods.
A speech read on behalf of Joseph Boahen Aidoo, the Chief Executive Officer, COCOBOD expressed confidence that the Scheme would stimulate the youth to venture into cocoa farming for sustained growth.
Mr Aidoo expressed readiness to speed up the registration of cocoa farmers onto the Scheme and appealed to the farmers to get their card ready for the registration.
Mr Hayford Atta Krufi, the Chief Executive Officer of, National Pension Regulatory Authority, urged the Board to display good faith in every decision they take for the betterment of the Scheme.
“Upgrade your knowledge and understanding of the Scheme to take better decisions that will benefit the farmers and the country as a whole,” he said.
Alhaji Alhassan Bukari, the National Chief Farmer, commended government for the initiative and urged all cocoa farmers to support the Scheme towards its success.
According to highlights of the report available to GhanaWeb, prices of the nearby cocoa futures contract averaged US$2,195 per tonne.
It further ranged between US$2,122 and US$2,295 per tonne in London whereas, in New York, the average price of the first position contract stood at US$2,332 per tonne, seesawing between US$2,242 and US$2,425 per tonne.
For Europe, 7,960 tonnes of cocoa beans were exchanged on the market against the July 2021 contract, down from the 9,280 tonnes tendered against July 2020.
Meanwhile, Ivory Coast and Ghana account for almost 60% of world supplies for cocoa beans.
The International Cocoa Organization (ICCO) has released a report for the monthly performance of cocoa on the international market for July 2021.
According to highlights of the report available to GhanaWeb, prices of the nearby cocoa futures contract averaged US$2,195 per tonne.
It further ranged between US$2,122 and US$2,295 per tonne in London whereas, in New York, the average price of the first position contract stood at US$2,332 per tonne, seesawing between US$2,242 and US$2,425 per tonne.
For Europe, 7,960 tonnes of cocoa beans were exchanged on the market against the July 2021 contract, down from the 9,280 tonnes tendered against July 2020.
Meanwhile, Ivory Coast and Ghana account for almost 60% of world supplies for cocoa beans.
The Member of Parliament for Offinso South Dr. Isaac Yaw Opoku has touted the achievements of President Akufo-Addo in the cocoa sector.
Appearing on Frontline on Rainbow Radio 87.5Fm, he posited that extension officers for the sector were only 600 for the entire country, but the number has been tripled under the current administration.
He also explained that the government is resolved to replanting all swollen-shoot affected farms in all the regions of cocoa cultivation, and thereby, help improve the yield per hectare for all cocoa farmers.
He told host Kwabena Agyapong that farmers and landowners would be paid compensation where tenancy agreements exist.
According to him, when the NPP took over, there were several hectares of farms that were unproductive but the measures adopted by the NPP has improved the sector.
The swollen shoot disease he noted affected farms especially in the Western North Region, but the government has achieved a lot.
In 2020 President Akufo-Addo announced that over 11,564.28 hectares of swollen shoot-affected farms in the Western North and Eastern Regions have been treated and planted with cocoa, plantain, and economic shade trees.
He also revealed 8,904 farmers, out of which 7,358 have been fully compensated.
Ghana Cocoa Board says its plans to raise US$1.3 billion through a syndicate of banks is on course and not affected by the perceived risks associated with the COVID-19 pandemic.
Speaking at the launch of a US$600million receivable-backed loan on Tuesday, Mr Joseph Boahen Aidoo, the Chief Executive of COCOBOD, said the Board was currently negotiating the terms of the proposals with the Banks.
He said COCOBOD issued Requests for Proposals in February 2020 to International Banks to raise the funds for the 2020/2021 cocoa purchases.
“On the 12th of June, 2020, the financial institutions including; COCOBOD’s traditional Banks submitted their proposals,” he said, adding that evaluation of the proposals was held on 18th June 2020 by an in-house committee with representatives from the Ministry of Food and Agriculture, the Ministry of Finance and the Bank of Ghana.
“So, COCOBOD is currently negotiating the terms of the proposals with the Banks; which is the normal practice. Once the terms are finalised, all due processes will be followed through to their logical conclusion, up to the signing of the facility which is expected in September 2020,” Mr Aidoo said.
He assured COCOBOD’s stakeholders and partners that the process was moving steadily and that the Board expected everything to remain on schedule.
Meanwhile, Mr Aidoo said COCOBOD had paid its 2019/2020 loan facility in June 2020, three months ahead of schedule, even in this time of COVID-19.
Minister of Food and Agriculture, Dr Owusu Afriyie Akoto has said at the launch of the Ghana Cocoa Board (COCOBOD) $600m syndicated loan facility on 23rd June 2020, that despite Ghana priding itself as the second-largest cocoa-producing country in the world, huge challenges exist in the sector.
Key among these challenges, he said, are low productivity resulting from aged and diseased farms, low prices of cocoa on the world market, and low per capita consumption of cocoa products.
“In an effort to curtail, these challenges, we instituted a number of Productivity Enhancement Programmes (PEPs) and other policy interventions. Among these are: Re-launching of the Cocoa Diseases and Pest Control Programme (CODAPEC); Enhancement of the National Cocoa Rehabilitation Programme with new incentives to landowners and farmhands; Introduction of a National Hand Pollination Programme; Introduction of a Mass Prunning Programme; Piloting of a Cocoa Farm Irrigation Programme; Launching of a National Cocoa Consumption campaign to make cocoa a household food in Ghana, and; Landmark introduction of Living Income Differential (LID) pricing mechanism to boost the incomes of farmers.â€
He further stated that apart from the LID which will be fully implemented in October 2020, the benefits of all the other interventions are already been enjoyed by cocoa farmers across the country.
“In view of the capital requirements for a successful implementation of these interventions, Ghana Cocoa Board began negotiations with the AfDB and other international bodies to provide funding for these laudable programmes.
“As has been mentioned earlier by the Chief Executive, the African Development Bank (AfDB), Japan International Cooperation Agency (JICA) including Credit Suisse AG, Development Bank of South Africa the Industrial and Commercial Bank of China Limited and other International agencies, signed a $600 million syndicated receivables-backed loan facility with Ghana Cocoa Board (COCOBOD) in February 2020 to facilitate the ongoing Productivity Enhancement Programs (PEPs) in Ghana. $200 million of this amount has already been released.â€
The Chief Executive Officer(CEO) of Ghana Cocoa Board(COCOBOD), Joseph Boahene Aidoo has hinted of conclusive discussions with President Nana Akufo-Addo to increase the price of Cocoa in the coming months this year.
Currently, the government buys one bag of Cocoa beans from farmers at 515.00 Ghana cedis.
The CEO said since the Cocoa sector was the backbone of Ghana’s economy which help to ensure the stability of the cedi, Cocobod and the government have taken bold decisions that will inure to the welfare of the 1.2 million Cocoa farmers in Ghana.
Mr Boahen-Aidoo said this during an engagement with Cocoa farmers at separate functions at Nsuaem No.2 and Wassa-Afransie as part of a working visit to Dunkwa-On-Offin and Wassa-Akropong Districts in the Western South Cocoa Region.
Mr.Boahene-Aidoo, who is also the Nkosohene (Development Chief) of Nsuaem No.2, said as part of efforts to ensure that Cocoa farmers enjoyed the fruits of their labour, Ghana now fixes and dictates the price of Cocoa for the world, hence the need for farmers to expand their acreage and adopt sound cultural practices on their farms to harvest at least 20 bags per 1 acre.
The CEO of Cocobod told farmers that the government had sourced a-200-million dollar fund from the Agricultural Development Bank (ADB) in South Africa to deal with the swollen shoot disease which was rife in the Wassa-Akropong and Dunkwa Districts by cutting the diseased trees for re-planting through extension officers and employed youth in the area.
Mr.Boahene-Aidoo lamented that 60 million seedlings were given to farmers during the Mahama administration but ironically, over 200 million hectares of Cocoa went bad in the Cocoa Regions of Ghana.
It is against this backdrop that Cocobod has embarked upon regular tour and visits to cocoa farms to inspect mass pruning, advise farmers not to patronize unapproved chemicals by Cocobod on their farms, adding that about 30,000 pollinators have been employed to undertake the hand pollination exercise in all the 1.2 million Cocoa farms across the country.
Mr.Boahene Aidoo noted that farmers were not harvesting up to 1,000 pods on their Cocoa trees due to non-compliance with cultural practices.
He announced that the government has earmarked an incentive package for farmers who observed sound cultural practices to increase productivity.
Officials from Akanu Sector Command of the Ghana Immigration Service (GIS) have intercepted 79 un-standardised bags of raw cocoa beans being smuggled out of Ghana to neighbouring Togo.
The arrest was made at about 0148 hours on June 04, 2020 at Deme in the Ketu North Municipality, when some five persons attempted transporting the goods in five Apsonic motorcycles through an unapproved route to Togo.
The suspects, Mr Vincent Tortise, Mr Felix Henyo, Mr Christian Dzamesi, Mr Emmanuel Adator and Mr Amos Korshi currently on self-enquiry bail, were using motorcycles with registration numbers, M-18-VR 3176, M-19-VR 653, M-20-VR 383, M-19-VD 2443 and one unregistered one.
Mr Felix Agyeman-Bosompeh, the Sector Commander during the official handing over of the impounded goods to officials from Volta/Oti Region of Ghana Cocoa Board (COCOBOD) said the Command had information on the intended smuggling of the cocoa beans necessitating a patrol team to be on alert to foil the plan.
He said the suspects tested the alertness of the patrol team by first smuggling 10 bags of fertilizer across the border on two trips and feeling assured that they were safe to operate, attempted transporting the “five motorcycles fully loaded with the cocoa beans.â€
Mr Agyeman-Bosompem said his men were committed to duty and had stepped up anti-smuggling operations saying, “We make a lot of interceptions all the time including; vehicles with planting for food and Jobs (PFJ) fertilizers and marijuana.â€
The Sector Commander therefore warned all smugglers thinking the Akanu area was an easy route for them to ply their trade to desist as, “this terrain is as rough as they can imagine†and called on his officers to always be professional and not countenance any individual or group to beat the system.
Mr Wisdom Delali Amexame, Volta/Oti Regional Head, COCOBOD said his outfit was collaborating with border security agencies to arrest the smuggling of cocoa beans out of the country to enable government recoup part of its investments in the cocoa sector and the needed revenue for infrastructure development in the country.
“Government makes huge investment including; providing seedlings to farmers, mass spraying, cocoa pollination, mass pruning and subsidised fertilizers to improve yields and so, I see such farmers who after all these find means to smuggle their cocoa beans out of Ghana to deny government revenue, as unpatriotic. Last week, our Boss was in the region and described these farmers as evil and I agree with him on that,†he said.
Mr Amexame added that COCOBOD recently announced it was going to construct the Have-Jasikan stretch of the Eastern Corridor Road and the only “means we get revenue to carry out the projects is when farmers bring their produce to us to buy and not smuggle them out.â€
Exports of cocoa beans and products increased by 5.0 per cent to US$2.29 billion in 2019, the Bank of Ghana (BoG) has said in its 2019 Annual Report.
The report said cocoa beans exported amounted to US$1.45 billion, an increase of 3.2 per cent compared to the value in 2018.
The average realised price of cocoa beans increased by 8.8 per cent to US$2,366.94 per tonne, while export volume fell by 5.2 per cent to 613,184 tonnes.
Earnings from cocoa products increased by 8.2 per cent to US$0.84 billion, on account of both price and volume effects.
The reporter further indicated that the value of timber exports fell by 23.7 per cent to US$0.17 billion, the Bank of Ghana has announced.
The BoG said the average realised price decreased to US$562.47 per cubic metre in 2019, from US$671.04 per cubic metre in 2018. Volume exported declined to 300,455 cubic metres in 2019, from 330,042 cubic metres in 2018.
Regarding Other Exports, the BoG said the value of “other exports†which is made up of nontraditional exports and other minerals (aluminum alloys, bauxite, diamond and manganese) was estimated at US$2.49 billion, US$0.05 billion lower than the outturn in 2018.
On Merchandise Imports, the central bank said the total value of imports for 2019 was estimated at US$13.41 billion, up by 2.1 per cent compared to the outturn in 2018.
“The value of oil imports (comprising crude, gas and finished products) decreased to US$2.42 billion in 2019, from US$2.58 billion in 2018, driven largely by lower oil prices on the international market. However, non-oil imports expanded in 2019 to US$10.99 billion, a 4.1 per cent increase compared to the position in 2018,†the BoG said.
The Ghana Cocoa Board (COCOBOD) through the Cocoa Health and Extension Division (CHED) has presented a total 99,468 bags of Cocoa fertilizers to be distributed to 126 farmer cooperative groups within Wiawso and Akontombra districts of the Western North Region.
Mr John Ahi, Boako District Technical Officer, who confirmed the development to the Ghana News Agency, said the 126 farmer corporative groups were from the Wiawso and Akontombra districts with a maximum number of between 250 and 300 members in each group.
He said his outfit with the support of the farmer groups have prune all the selected farms to pave way for the application of the fertilizers.
He said the farmer corporatives were used to ensure that the government sponsored agro chemicals were fairly distributed to the rightful beneficiaries.
Mr Ahi advised beneficiary farmers to take experts advice from the technical officers and that the district has enough Technical Officers to attend to each farmer.
He asked them to desist from smuggling the fertilizers to other areas for sale, since the security agencies were on the alert to arrest any farmer who sells the fertilizers and the buyer as well.
The District Technical Officer appealed to farmers to regularly maintain their farms in order to get good yields since farm maintenance was key in cocoa production.
He urged Cocoa farmers within his operational areas to either join or form farmer cooperatives in order to benefit from the COCOBOD programme and policies.
The beneficiary cooperatives groups included, Aseda Ben Association, Kuapa kokoo farmer’s union, Yesu Adom women in Cocoa Association, Royal Youth and Eka obi nko Cocoa farmer’s Association.
The others are Awurade beye Cocoa farmer’s Association, Golden Pod farmer’s Association and NSO Nyame ye Cocoa farmer’s Association among others.
Mr Kankam Amos, secretary for Anidaso cooperative Cocoa farmer’s group, commended the government and COCOBOD for bringing fertilizers to the door steps of cocoa farmers. He pledged that the fertilizer would be used appropriately.
The Ghana Cocoa Board (COCOBOD) is teaming up with the Government to fix sections of the Eastern Corridor road, Mr Joseph Boahen Aidoo, Chief Executive of COCOBOD said on Tuesday.
He said all technicalities had been resolved and contractors on-site to fix the Have to Hohoe and Hohoe to Jasikan stretches of the Corridor.
Mr Aidoo said this when he interacted with journalists in Ho as part of his three-day working visit to farms, farmers, and project sites of COCOBOD in the Volta and Oti regions.
He said the road projects, being done under co-financing, would be completed between two to three years to give relief to cocoa farmers.
“These roads are dear to the government and our farmers. Without good roads, the government’s interventions and supports can’t reach farmers and we also can’t transport cocoa beans from the farms to Tema Habour. So we need the roads badly and they will soon be fixed,” Mr Aidoo said.
He commended the Volta Regional Security Council (REGSEC) for efforts at reducing the smuggling of Ghana’s cocoa to the neighbouring republic of Togo.
Mr Aidoo said the Council intercepted over 600 bags of cocoa being smuggled to Togo between 2019 and this year and urged it to “continue the noble duty.”
He said the Board of Directors of COCOBOD had approved a compensation package of two-thirds of the value of proceeds gotten from seized cocoa beans to security agencies and officers involved in interceptions to motivate them.
“Every tonne of cocoa that leaves our country illegally costs us four hundred dollars so we have to do this to protect our cocoa and our economy,” Mr Aidoo stated.
He said a total of 3.6 million hybrid cocoa seedlings had been raised for 3,000 hectares of cocoa land areas to be rehabilitated in the region.
Mr Aidoo said in the short term, COCOBOD had introduced hand pollination and scaled up mass pruning to enhance flowering and asked farmers to take advantage of the interventions.
He said COCOBOD, through Government was also spending between 200 and 300 million dollars to tackle diseases and overaged cocoa farms and called for support of all.
Dr. Archibald Yao Letsa, Volta Regional Minister said the Region remained a key player in the cocoa sector and stated the readiness of REGSEC to stop the smuggling of cocoa across the borders.
Mr Wisdom Delali Amexame, Regional Manager responsible for intelligence and security, COCOBOD, told the GNA that Volta and Oti regions produced averagely 8000 tonnes of cocoa annually in three cocoa growing districts.
Managing Director of the Cocoa Processing Company (CPC) Nana Agyenim-Boateng has announced that the government of Ghana has given the company $3million stimulus to expand its operation.
He said the package is intended to help the company expand its operations to produce more products for the growing market.
Mr Agyenim-Boateng told Alfred Ocansey on the Sunrise Show on TV3 Tuesday May 12 that the government extended this support to the company before the outbreak of the coronavirus pandemic.
“This is a time where the president is talking about value addition that is why he is pushing us with the support of the Minister of Food and Agriculture Dr Afryie Akoto. Now they have given us a stimulus package of 3million dollars, it came even before this COVID-19.â€
He added “Because we were getting on with the school feeding programme, by extension they have given us this stimulus package to open up to do more.
“The package is opening additional plant for the powder section. What we have now, started being used from the Kwame Nkrumah time. Now with the increasing demand you need to do products which you can deliver to millions of people.â€
He added that the plan of CPC is to produce most of the cocoa products that are imported into the country
“We got to the minister as to how we can use cashew and tiger nuts to make spread and almonds.
“These are all products that, hitherto used to come from outside, but now, we do spread on your bread, on your almond locally,†he said.
The Ghana Cocoa Board (COCOBOD) and Beft Agro Consult Limited, distributor of fertilizers in Ghana, have renewed their partnership to provide Cocoa Farmers with Omya Calciprill to tackle soil acidity.
To help promote the message of soil acidity and the importance of Calciprill, Beft Afro Ltd will be aided by Demeter Ghana Ltd, a specialist agricultural company.
Speaking at a training seminar for the Seed Production Division (SPD) of Cocobod at Bonsu Cocoa College, about the importance of Calciprill and the effects of Acidic soils on Cocoa, the Deputy Executive Director of SPD, Madam Faustine Asamany, expressed the hope that the training would increase understanding about the problems of soil acidity, and the effects it had on Cocoa yields.
Mrs. Asamany added that “We are looking forward to working with Beft Agro Consult Limited and Demeter Ghana Ltd to educate our team about soil acidity and the importance of Calciprill”.
The Deputy Director said the problems of acidity in the soils of Ghana is a well-known challenge for a long time now, and “we are proud to be tackling the problem face on”.
Studies had shown that soil acidity was one of the major constraints on cocoa cultivation and further limited the levels of key nutrients such as Nitrogen, Potassium and Phosphorus. This led to low Cocoa yields thereby affecting farmers.
Omya Calciprill is a high-quality soil conditioner from Germany that is used to rid soils of any acidity and allows for yields to increase, as well as drive up crop quality.
Mr. Mohammed Issifu, Chief Agronomist at Beft Agro Consult Limited, on his part stated that “We are delighted to have been given this opportunity to host a seminar for the Seed Production Division. We look forward to promoting the importance of Calciprill”.
Mr Frank Boateng, Co-founder of Beft Agro Limited, said Ghana had long had an issue with soil acidity, which had severely hampered Cocoa farmers’ yields.
“We are very proud to have been invited by COCOBOD to host this seminar on Calciprill to SPD. We know what a positive impact the product will have on their lives,” Mr. Boateng said.
Demeter Ghana Ltd’s Chief Executive Rocco Falconer stated, “This is a great opportunity to educate Cocoa professionals about the issues of soil acidity”.
Studies conducted by the Cocoa Research Institute of Ghana (CRIG) over a two year testing period and subsequent distribution have proven that Omya Calciprill can boost yields by 70 percent.
Beft Agro Limited is an importer and distributor of fertilizers. Beft Agro Limited has worked closely with Ministry of Food and Agriculture and COCOBOD for many years.
The National Board for Small Scale Industries (NBSSI), in collaboration with Mondelez International, has trained 40 youth in cocoa-growing communities in alternative livelihood sources.
The youth, from the Suhum and Lower-West Akyem districts, were trained to produce shower gel and body cream from cocoa husks to complement their sources of livelihood under the Cocoa Life Project of Mondalez International.
This came to light when the beneficiaries were presented with start-up kits including creaming machines, mixing bowls and packaging containers.
They were also given ingredients for production such as cocoa butter perfumes, preservatives, potash acid, petroleum jelly and glycerine.
Mrs Kosi Yankey-Ayeh, the Chief Executive Officer of the NBSSI, said for the past two years the NBSSI had committed to training the youth in employable skills as well as giving business support to small and medium enterprises.
She urged the beneficiaries to put the skills and equipment to good use to improve on their living conditions.
Mrs Yaa Peprah-Amekudzi, the Country Lead of Cocoa Life, said cocoa farming could be supported with many other sustainable ventures such as skills training to grow their businesses.
Overly dry and hot winds in West Africa are damaging prospects for cocoa output for the second year in Ghana, the world’s second-largest producer, sources told Reuters News Agency.
Cocoa futures on Intercontinental Exchange are near their highest in three years, driven in part by the adverse weather, which has also damaged the crop in neighbouring Ivory Coast, the world’s top cocoa producer.
Four local traders and exporters, speaking to Reuters on condition of anonymity, said they see the 2019-2020 Ghanaian crop at 790,000 to 820,000 tonnes, a shortfall that if realised could help drive global prices higher. It is well short of the 875,000 tonnes forecast in a Reuters poll in late January.
A source at Ghanaian cocoa regulator, Ghana Cocoa Board (or Cocobod), said the weather is a big concern. “It has not been raining for more than four months and the heat is so strong there are very few flowers, cherelles [young cocoa pods] and pods in the fields,” said an Accra-based exporter.
Between 2018 and 2019, Ghanaian cocoa output totalled 815,000 tonnes, according to the International Cocoa Organisation (ICCO), far below the international body’s initial projection of 900,000 tonnes issued in February 2019. The ICCO is expected to publish its first projections for 2019-2020 crops later this month.
“People have been reducing their numbers but not by 50,000 tonnes. Arrivals so far have been quite good and at this stage, [there’s only] the mid crop and tail-end of the main crop [left],” an analyst at a large chocolate maker said.
Cocoa arrivals at Ghanaian ports stood at 596,000 tonnes from October 1 – the start of the season – until January 16, up from 591,000 tonnes the same period of the previous season, official figures show.
But local exporters remain concerned.
The director of a European company based in Accra said production will disappoint as the recent dry spell has reduced the crop. “We [have been] forced to lower our predictions,” he said.
Ghana and Ivory Coast produce more than 60 percent of the world’s cocoa. Both countries’ output has been hit by the weather, but the situation in Ivory Coast is more severe as farmers and middlemen there have been hoarding in anticipation of higher prices next season, a Europe-based trader said.
Ivory Coast and Ghana have introduced a $400-a-tonne living income differential or premium for their 2020-2021 cocoa sales in a bid to guarantee higher prices for farmers and combat pervasive poverty.
It is difficult to hoard in Ghana as the market is so tightly controlled by the government, the Europe-based trader said.
Overly dry and hot winds in West Africa are damaging prospects for cocoa output for the second year in Ghana, the world’s second-largest producer, sources told Reuters News Agency.
Cocoa futures on Intercontinental Exchange are near their highest in three years, driven in part by the adverse weather, which has also damaged the crop in neighbouring Ivory Coast, the world’s top cocoa producer.
Four local traders and exporters, speaking to Reuters on condition of anonymity, said they see the 2019-2020 Ghanaian crop at 790,000 to 820,000 tonnes, a shortfall that if realised could help drive global prices higher. It is well short of the 875,000 tonnes forecast in a Reuters poll in late January.
A source at Ghanaian cocoa regulator, Ghana Cocoa Board (or Cocobod), said the weather is a big concern. “It has not been raining for more than four months and the heat is so strong there are very few flowers, cherelles [young cocoa pods] and pods in the fields,” said an Accra-based exporter.
Between 2018 and 2019, Ghanaian cocoa output totalled 815,000 tonnes, according to the International Cocoa Organisation (ICCO), far below the international body’s initial projection of 900,000 tonnes issued in February 2019. The ICCO is expected to publish its first projections for 2019-2020 crops later this month.
“People have been reducing their numbers but not by 50,000 tonnes. Arrivals so far have been quite good and at this stage, [there’s only] the mid crop and tail-end of the main crop [left],” an analyst at a large chocolate maker said.
Cocoa arrivals at Ghanaian ports stood at 596,000 tonnes from October 1 – the start of the season – until January 16, up from 591,000 tonnes the same period of the previous season, official figures show. But local exporters remain concerned.
The director of a European company based in Accra said production will disappoint as the recent dry spell has reduced the crop. “We [have been] forced to lower our predictions,” he said.
Ghana and Ivory Coast produce more than 60 percent of the world’s cocoa. Both countries’ output has been hit by the weather, but the situation in Ivory Coast is more severe as farmers and middlemen there have been hoarding in anticipation of higher prices next season, a Europe-based trader said.
Ivory Coast and Ghana have introduced a $400-a-tonne living income differential or premium for their 2020-2021 cocoa sales in a bid to guarantee higher prices for farmers and combat pervasive poverty.
It is difficult to hoard in Ghana as the market is so tightly controlled by the government, the Europe-based trader said.
The Ghana Cocoa Board (COCOBOD) has taken delivery of 100,000 pieces of motorised slashers to be distributed to cocoa farmers throughout the country.
The slashers are to prevent the farmers from resorting to the use of weedicides on their farms and, thus, reduce the risk of having the beans contaminated and rejected on the world market.
The COCOBOD banned the use of weedicides on cocoa farms and the slashers are expected to reduce the drudgery and discomfort farmers go through in managing their farms.
Dual role
At a two-day training workshop on the use of the slashers at Bunso in the Eastern Region, the Deputy Chief Executive in-charge of Agronomy and Quality Control of COCOBOD, Dr Emmanuel Agyemang Dwomoh, said aside from being used for weeding, farmers could also use the slashers to prune their farms.
He described pruning as a crucial agronomic and productivity enhancement activity that must be given all the needed attention to boost yields.
Dr Dwomoh said the machines could be used for clearing weeds, as well as cutting unwanted branches on cocoa trees without difficulty, adding that “the slashers are easy to use and can clear a hectare of land within two hoursâ€.
The workshop was to equip the field staff of COCOBOD with the needed knowhow on the appropriate use of the slashers and pruners ahead of the start of the mass pruning exercise scheduled for February this year.
It was attended by more than 200 participants made up of regional managers and regional and district extension coordinators from all the cocoa-growing regions.
Dr Dwomoh entreated the participants to pay attention to every bit of information given by the facilitators to enable them to effectively train various volunteers in cocoa communities on how to properly use the machines.
Last year, Dr Dwomoh said, they were able to prune only about 14 per cent of the areas marked for pruning.
Dr Dwomoh said the target this year was to ensure 100 per cent pruning of all farms with the aid of the motorised slashers.
The Head of Business at Crop Doctor, Mr Sudhir Kumar, who took the participants through the machine assembling processes and safety measures, was grateful to COCOBOD for the partnership and pledged his outfit’s support towards the implementation of the initiative.
Mr Yakubu Osman, the 2017 National Best Cocoa Farmer, has expressed gratitude to the government for increasing the producer price of Cocoa from GHS 475.00 to GHS 515.00 per bag.
He also commended the COCOBOD for introducing a good number of policies that were helping Cocoa farmers to increase their yield.
Speaking to the Ghana News Agency in an interview, Mr Osman said, the price increment was welcome news for Cocoa farmers considering the fall in the international market and that farmers appreciated the efforts of the government.
Mr Osman cited pollination, pruning, free Cocoa seedlings and free agrochemicals among others as some of the good interventions that were helping Cocoa farmers across the country.
The former National best Cocoa farmer was hopeful that the proposed machine to be used to weed Cocoa farms would soon materialise and asked COCOBOD to give it out to many Cocoa farmers.
Mr Osman called on Cocoa farmers to take advantage of the numerous interventions by the government and COCOBOD to produce more Cocoa beans and accept the new price in good faith comparing the price of neighbouring la Cote d’Ivoire.
He also advised Cocoa farmers to take farming as a lucrative business by investing in it and should not wait for agrochemicals from the central government.
He appealed to COCOBOD to supply subsidised agrochemicals on time and also pay compensations to farmers who allowed their swollen shoot disease cocoa trees to be cut.
He lauded their decision to introduce electronic weighing scales since that could help fight cheating and suggested that cocoa farmers be educated on the programme before it was introduced.
