President Nana Akufo-Addo has announced an increment in the producer price of Cocoa by 28% to GH¢ 10,560 per metric ton starting from October 1, this year.
He explained that the increment represents a hike of more than 28% over the price obtained in the outgoing crop year of 2019/2020 and added that it was also the government’s intention to reward farmers for their work as part of its 2016 Manifesto promise.
“By this substantial increase in the producer price, we are also delivering on our 2016 Manifesto promise to reward handsomely the hard work of our cocoa farmers and their unequalled contribution to the economy of Ghana over the years”, emphasized.
President Akufo-Addo made this known during the launch of the Cocoa Rehabilitation Programme in Sefwi Wiawso as part of his 3-day tour of the Western North Region.
President Akufo-Addo lamented that the unstable nature of cocoa prices on the world cocoa market remains one of the biggest challenges.
He also bemoaned the fact that with Ghana and Cote d’Ivoire responsible for 65% of the raw cocoa beans used in making chocolates, cocoa farmers from the two countries received just U.S.$ 6 billion from an over $100 billion chocolate industry.
“Government believes that value-addition to our cocoa and the search for new markets will make us more money than all the aid given to us by all the donor countries. We shall gain some dignity and spare the donors the fatigue we have all heard about”, he opined.
According to the President, this is the rationale for the Strategic Partnership between Cote d’Ivoire and Ghana, the common initiative of His Excellency President Alassane Ouattara of Cote d’Ivoire and himself, which is manifesting itself in a joint cocoa production and marketing policy which is already paying dividends.
“Today, I am happy to announce that Ghana and Cote d’Ivoire are receiving a Living Income Differential (LID) of $400 per ton of cocoa, which is an additional earning from the world market price for our farmers”, he added.
He further explained that the Living Income Differential would guarantee some stability to the producer price of cocoa and sustainability of the industry in Ghana and Cote d’Ivoire.
Story: Seth Ameyaw Danquah
