Source: Oleoscope (Russia)
In an unprecedented move, the government has increased the price for cocoa producers by over 129%. The new price will come into effect on Wednesday, September 11, 2024. According to the Minister of Food and Agriculture, Dr. Brian Achimpong, who announced the new price, the increase is unprecedented in the country’s history, reports All Africa.
“We are pleased to announce that the producer price for cocoa for the 2024/25 season is 48 thousand cedis per tonne or 3 thousand cedis per 64 kg bag. This price is up from 20,900 cedis per ton or 1,300 cedis per 64 kg bag at the opening of the 2023/24 season. This is an unprecedented increase of 129.36 percent,” the minister said.
He assured that the purchase amount for cocoa farmers will remain unchanged throughout the season to protect them from price fluctuations in the international market. The government will also continue to support initiatives such as the fertilizer application program and cocoa sanitation to produce and supply certified planting material that is drought resistant, early fruiting and profitable.
The authorities expect that the increased producer price will boost the local economy in the region.
Earlier, Ghana withdrew foreign funding from the cocoa industry for the first time in 32 years and raised mid-season cocoa prices by more than 58% to 33,120 cedis per tonne or $2,119 in April 2024 after neighboring Ivory Coast, the world’s largest cocoa producer, increased the selling price for the crop between April and September.
The global cocoa price experienced its greatest volatility in 12 months. Spot prices ranged from around USD 2,000 per tonne in March 2023 to a high of USD 12,072 per tonne in February 2024, before falling sharply to USD 7960 per tonne in September 2024.