Fiifi Boafo
THE GHANA Cocoa Board (COCOBOD) has indicated it will soon secure about $200 million to settle the arrears owed some Licence Buying Companies (LBCs) and farmers across the country.
Fiifi Boafo, Public Affairs Manager of the Ghana Cocoa Board (COCOBOD), disclosed this on Citi FM, an Accra-based radio station.
On Thursday, COCOBOD’s Chief Executive Officer, Joseph Boahen Aidoo, was invited by the First Deputy Speaker of Parliament, Joseph Osei Owusu, to react to certain concerns raised by MP for Buem, Kofi Adams, on debts owed by COCOBOD to some LBCs for cocoa supplied by farmers across the country.
According to Mr. Boafo, some LBC’s were really owed, even though he blamed the situation largely on the impact of COVID-19 on the cocoa value chain globally.
“We admit that to an extent the flow of cash to cocoa farmers has not been the very best, but it is a challenge we have had which we are dealing with and to a very large extent we have managed the situation. But we admit that there is the need for us to quickly clear some of the debt for the LBC’s to be able to settle the cocoa farmers. The challenge to a very large extent has been influenced by COVID-19.”
“Because of COVID-19 consumption and trading in terms of pricing have dropped, which has led to trade housing limiting their processing capacity which affects your ability to raise funds and all that. The assuring part is that we have done a drawdown of about $1.1 billion already on the $1.3 billion COCOBOD contracted to pay cocoa farmers, the expectation is that in the coming weeks we will be able to draw down the rest to be able to clear some of the debt available,” he averred.