Ghana has increased the producer price for the prevailing 2023/24 cocoa season 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.
This figure translates into GH¢2,070 per bag of 64 kg gross weight and takes effect from Friday, 5th April 2024.
The Ghanaian government said it reviewed the cocoa farmgate price in consultation with stakeholders.
The new producer price of cocoa shall be applied at all cocoa sheds for the rest of the 2023/24 crop year, which ends in September.
“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,” a press release by Ghana Cocoa Board (Cocobod) said.
It also cited “the welfare of cocoa farmers” as a reason for the raise in farmgate price which has seen a cumulative increase of up to 336% since 2017, from GH¢7,600 to GH¢33,120 per tonne.
Meanwhile, the buyers’ margin for licenced buying companies (LBCs) for the rest of the 2023/24 cocoa season has also been pegged at GH¢2,980.00 per tonne.
“This increase is expected to cushion the LBCs against the increase in finance cost due to an increase in the producer price of cocoa,” Cocobod stated.
