Franklin Cudjoe is the President of IMANI Africa
President of IMANI Africa, Franklin Cudjoe, has called on the Ghana Cocoa Board (COCOBOD) to deregulate the cocoa sector.
He argued that the current centralized system is financially unsustainable and stifles farmer independence.
Speaking on Channel One TV’s ‘The Big Issue’, Franklin Cudjoe said farmers should be allowed to form cooperatives and negotiate directly with buyers, rather than being restricted to COCOBOD’s marketing monopoly.
“Deregulation here would mean, give the power back to farmers. Farmers must form cooperatives and decide to sell to whoever they want to sell,” he stated.
He labelled COCOBOD’s existing structure as bloated, stating that its financial model is increasingly difficult to sustain in the face of global market pressures.
Buyers shun Ghana’s cocoa over high prices – COCOBOD laments.
According to him, empowering farmers to engage directly with buyers would not only improve their bargaining power but also enhance efficiency in the sector.
His comments come at a time when Ghana’s cocoa industry is grappling with challenges, including fluctuating international prices and rising production costs.
Meanwhile, Head of Corporate Communications, Jerome Kwaku Sam, earlier this week said COCOBOD is working on a new financing model under the current administration to ensure more sustainable funding and prevent future delays.
Currently, COCOBOD has released more than GH¢620 million in February 2026 to Licensed Buying Companies (LBCs) to settle outstanding payments and enable them to pay cocoa farmers for their produce.
In recent months, LBCs have been compelled to pre-finance cocoa purchases using high-interest loans from commercial banks, with the Ghana Reference Rate standing at 29.8 per cent.
This left them bearing heavy costs, as COCOBOD’s first payment for cocoa delivered to ports in the 2023/2024 season did not arrive until January 26, 2024, which was six months later.
For the ongoing 2025/2026 season, which opened in August, the funding formula has been revised to an 80/20 model.
Under this arrangement, LBCs receive 80 per cent upfront to cover farmer payments and handling costs, while the remaining 20 per cent is settled upon delivery to COCOBOD.
SA
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