Cocoa is a key export commodity for Ghana
The Cocoa Development Advocacy Platform (CDAP) has called on the government to decisively address the widening price gap between Ghanaian and Ivorian cocoa, warning that the disparity is fueling cross-border smuggling and threatening the country’s cocoa sector.
According to a statement by CDAP, while cocoa prices in Côte d’Ivoire stood at the equivalent of GH¢3,113 per bag at the end of 2024 just GH¢13 higher than Ghana’s GH¢3,100.
Meanwhile, the West African neighbor has since raised its farmgate price to GH¢3,767.29 per bag.
This, the association believe has created a sharp price difference of GH¢667.29 incentivising Ghanaian cocoa farmers to smuggle their produce across the border in search of better earnings.
“This development threatens the integrity of Ghana’s cocoa value chain and risks undermining the country’s cocoa revenue base. We urge the government to act swiftly and decisively to protect the livelihoods of our farmers and the future of our cocoa industry,”
The platform is also calling on government to fulfill its longstanding commitment to pay farmers 70% of the prevailing world market price for cocoa.
When combined with the $25 Living Income Differential (LID) per bag, CDAP argues this would ensure farmers receive a fair and sustainable farmgate price of approximately GHS 6,000 per bag.
According to CDAP such a pricing model is essential for addressing the deep-seated issues of poverty and exploitation within Ghana’s cocoa sector.
The group also warned that failure to act could result in broader social and economic consequences, including declining productivity, rural poverty, and increased rural-urban migration.
CDAP stressed that the current disparities in pricing have already led to rampant smuggling, which erodes state revenue and undermines the long-term viability of the cocoa sector.
SP/MA
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