An Economist, Peter Terkper, has commended the government’s recent adjustment to cocoa prices, describing it as a significant move that could help curb the smuggling of the commodity into neighbouring countries.
He noted that the current price of cocoa, which stands at 7,000 dollars per bag, reflects a substantive increase of nearly 50 per cent, marking a positive development for cocoa farmers.
Mr Terkper urged the government to implement measures to support farmers during rainy seasons to prevent the selling of cocoa farms for alternative purposes such as mining, which could negatively affect the sector.
“I think that it’s a good deal for the farmers and we hope that this will reduce the smuggling into neighbouring countries. 3,000 per bag, I think is a good one. Government should look at measures of some of these manageable packages to cushion the cocoa farmers during rainy seasons, so they do not sell off their cocoa farms, ” Mr. Terkper said.
Mr. Terkper warned that illegal mining poses a major threat to Ghana’s cocoa industry potentially degrading the quality of cocoa and diminishing its global market value.
He emphasized the need for the government to protect cocoa farmlands to ensure sustainable revenue for the economy, which could ultimately reduce tax burdens on businesses.
He added ” The major challenge is this galamsey issue, which has now become an enemy, because very soon the price of Ghana’s cocoa will be in a way that we cannot determine the price ourselves because somebody will force us to buy our cocoa at a price that is far below,”
