The first President of Ghana, Dr Kwame Nkrumah, in 1965 asked Joachim Burmester from Hamburg, Germany to set up CPC Ltd Company, in Tema. For almost 61 years CPC Ltd Company has produced chocolate products. Once listed until 2014 at GSE Ghana Stock Exchange as a SOE caused and still does an annual loss to mother Ghana of $ 12-14 Mio.. Managed by political parties members the portfolio to local, regional and especially the international market is not favourable or acceptable to consumers.
Otumfuo Osei Tutu II the Ashanti king is never tired to stress out his grievances about the high price of the locally produced chocolate products. In his frustration the Ashantehene forgets to add to the price paid by the Ghanaian consumers the annual subsidies paid from taxpayers money for which in real terms the price for the Ghanaian consumers must be doubled to get the correct picture.
German Discounter Aldi offers first class 100 gr chocolate bars at € O,99 equivalent to Ghc 12,09. In Ghana this price for 100 gr to find and by Kingsbite from CPC Ltd Company Tema is to my best knowledge Impossible to find. Considering the subsidies mentioned above the price must be doubled after all. Ghana’s Royals and the Elite can afford these prices while common Ghanaian struggles to afford his national pride.
Germans eat 8-13kg, Swiss 8-11kg, Belgians 6-8kg and other Europeans 8-10kg of chocolate products annually per head of the population. Ghanaians eat about 500 gr chocolate products annually per head of the population.
CPC Ltd Company Tema can process 65 000 tons of cocoa beans annually but constantly runs at a capacity of 12 000 tons. Ghana grows annually about 670 000 – 800 000 tons of cocoa beans. Several foreign and local factories process semi-finished chocolate products or finished chocolate products for foreign and the domestic market.
Over 60-70% of the cocoa beans grown get exported annually. In abroad they are processed to finished chocolate products. The value chain so the profit ends up in the pockets of white foreigners. The current NDC administration wants most of it to be processed in Ghana until 2030 for Ghanaians to benefit from the value chain fully. Chocolate factories are not available like dresses from a fashion shop but tailor made. The work of engineers take up to one year, training of operators three to six months, ground works etc. another year at best.
The technical aspect is not the most pressing challenge while the consumption is. Forcing foreign companies to produce the cocoa beans in Ghana only will see the profit leaving Ghana to abroad in the pockets of the whites after all. Only employment in the factories will benefit Ghanaians. Trade Unions in e.g. Europe will protest against jobs leaving for Ghana. Governments will intervene and support local European jobs indicating to Ghanaian politicians the financial assistance which must be cut in return and regulations for import must be doubled.
To make the most out of the value chain as hinted by the current government foreign consumers holding the profit in their pockets needed for Ghanaians, especially Ghana’s cocoa farmers, is the greatest challenge. In over 60 years CPC Ltd Company Tema was not profitable. How much will it be in four years to come? In this very competitive market with its Mafia like business style only the fittest experienced and visionary leaders survive.
Ghana: Happy Independence Day 69
