COCOA PRODUCE PRICE IN AN ERA OF CEDI APPRECIATION

As Ghana’s economy strengthens, the appreciation of the Cedi has been celebrated as a sign of renewed economic confidence, but for cocoa farmers, it presents complex challenges. Cocoa is traded internationally in US dollars, and the stronger Cedi has reduced the local value of global prices. While COCOBOD fixed the 2024/25 producer price at USD3,100 per tonne, equivalent to GHS49,600, the current exchange rate of GHS10.29 to the dollar lowers that value to GHS31,899 per tonne. To protect farmers, COCOBOD has maintained the higher price through internal subsidies, absorbing an estimated GHS17,701 per tonne difference. The Board remains committed to farmer welfare but acknowledges the limits of sustaining such support.