The government through the Finance Minister Dr. Cassiel Ato Forson has directed the Ghana Cocoa Board (COCOBOD) to commence immediate payment to all affected cocoa farmers who are owed money.
Dr. Ato Forson at a press briefing today revealed this following an emergency Cabinet meeting convened on Wednesday February 11 to address the deepening crisis in the cocoa sector.
The Cabinet has approved comprehensive reforms to guarantee fair prices to cocoa farmers, secure the financial viability of the cocoa sector, and ensure the industry’s long-term sustainability.
“To bring relief to unpaid cocoa farmers, Cabinet has directed COCOBOD to commence immediate payment of all affected farmers,” Dr. Ato Forson said.
The emergency meeting addressed the urgent issue of thousands of cocoa farmers left unpaid for months, with some struggling to afford basic meals.
COCOBOD is grappling with approximately 50,000 metric tonnes of unsold cocoa and owes Licensed Buying Companies (LBCs) about GH¢2.04 billion ($185 million).
The government will present a new Cocoa Board bill to Parliament to implement an automatic adjustment of producer prices, guaranteeing a minimum of 70% of the gross FOB price to cocoa farmers.
“Cabinet has decided on reforms to guarantee a fair price to cocoa farmers, secure the financial viability of the sector, and ensure the industry’s long-term sustainability,” Dr. Ato Forson stated.
