Government has announced an increase in the producer price of cocoa for the 2024/25 season, setting it at GH₵48,000 per tonne, or GH₵3,000 per 64 kg bag.
This marks a significant rise from the previous price of GH₵20,928 per tonne, or GH₵1,308 per 64 kg bag, at the opening of the 2023/24 season.
Commitment to farmers and sector growth
Dr. Bryan Acheampong, the Minister of Food and Agriculture, made the announcement, highlighting the government’s commitment to improving the cocoa sector and enhancing the livelihoods of Ghanaian cocoa farmers.
Volatility in global cocoa prices
The global cocoa market has experienced unprecedented levels of volatility over the past 12 months.
Spot prices surged from $2,000 per tonne in March 2023 to a peak of $12,000 in February 2024, before falling to $7,960 per tonne in September 2024.
On the futures market, prices rose from $2,200 in March 2023 to over $10,000 in February 2024, then dropped to $6,246 by September 2024.
Price decision based on careful analysis
“The severe highs and lows of prices are indicative of a market and sector that requires careful analysis before making any pricing decisions,” said Dr. Acheampong.
He reaffirmed President Nana Addo Dankwa Akufo-Addo’s vision for the cocoa industry to remain robust, resilient, and sustainable for present and future generations.
Targeting increased cocoa production
The minister expressed optimism about surpassing the 650,000-tonne production target for the 2024/25 season.
He noted that the new price, margins, rates, and fees would take effect immediately, starting from Wednesday, 11th September 2024, marking the beginning of the new season.
