Despite the Ghana Cocoa Board’s decision not to secure funds from the international market this season, COCOBOD has assured farmers that payments for their produce will remain a top priority.
In his first engagement with cocoa farmers since being appointed by President Mahama, COCOBOD’s Chief Executive Officer (CEO) Dr. Ransford Anertey Abbey emphasised that prompt payment to farmers will supersede all other financial commitments.
This comes at a time when concerns are heightened over funding, since the board did not access traditional syndicated loans for the first time.
Acknowledging challenges facing the cocoa industry, Dr. Abbey emphasised the need for large-scale farming to complement contributions from smallholder farmers. This approach, he believes, will bolster the industry while continuing to support small-scale farmers who have significantly contributed to Ghana’s cocoa legacy.
Challenges faced by the industry as a whole include declining production, aging farms and smuggling. These are further compounded by adverse weather conditions that decimated West African crops in 2024. They sent cocoa prices soaring to record highs, with futures hitting US$11,720 per tonne in April 2024.
Additionally, illegal mining activities since 2016 have contributed to the destruction of water-bodies and cocoa farmlands – leading to a shortage of cocoa beans and resulting in large-scale crop losses and the evolution of new diseases and pests, affecting cocoa output and leading to inconsistent yields.
Dr. Abbey also revealed that COCOBOD is intensifying efforts to rehabilitate aging and diseased farms to boost productivity.
On the issue of cocoa smuggling which has plagued the industry in recent years, Dr. Abbey disclosed that COCOBOD is collaborating with National Security apparatus to tackle the problem.
It is difficult to predict when the situation will improve, but it’s clear that a multi-faceted approach addressing all these issues will be needed to resolve the crisis. This means COCOBOD’s work is cut out for it and it is hoped that, under the leadership of Dr. Abbey, the country’s leading export commodity will again ascend to the pride of place it once occupied in the affairs of state.
The post Editorial: Uphill task of rehabilitating ailing cocoa sector appeared first on The Business & Financial Times.
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