Thursday, 18 April

Minority demands hike in farm-gate price of cocoa

Bag of cocoa beans

The Minority in Parliament is pressing for an upward adjustment in the farm-gate price of cocoa.

Their demand follows their observation of the soaring global cocoa prices, which have recently reached an all-time high of $10,000 per ton.

This surge in cocoa prices globally has been attributed to a shortage in supply, primarily due to a significant decline in cocoa output in Ghana and Cote d'Ivoire, which collectively contribute 70% of the total volume of cocoa produced worldwide.

The National Democratic Congress (NDC) MPs contend that at a conservative exchange rate of $1 to GHS13, the $10,000 per ton of cocoa translates to GHS130,000 per ton. Consequently, the Minority calculates that a ton of cocoa is currently fetching approximately GHS8,125 on the world market, while Ghanaian farmers are receiving a meager GHS1,308 per ton from the government.

The Minority decries this vast discrepancy, describing it as exploitative.

In a statement, they argue that it is unfair for Ghanaian farmers to receive such a low price for their cocoa, especially considering the significantly higher prices it commands on the global market.

While the Minority has not specified the exact increase they are advocating, they are unequivocal in their call for the farm-gate price to be raised to a level that better reflects the prevailing global cocoa prices.

Source: Mensah