21% increase in cocoa farm gate price ‘way too small’ – Minority

Ranking Member on the Finance Committee, Dr. Cassiel Ato Forson says the 21 percent increase in the producer price for cocoa which has been pegged at GH¢800 per bag is too small.

“That is way too small,” Mr. Forson said in a Citi News interview.

Before this increase, Ghana had last increased its farm gate price in 2020; from GH¢515 to GH¢660.

The Minority had previously called for the farm gate price to be increased to GH¢1000 per bag.

Dr. Forson noted that the Ivory Coast increase was up to the equivalent of over GH¢850 per bag.

“We know in times like this, persons who should benefit most is the one whose currency has depreciated the most. Ghana’s currency has depreciated more than that of the Ivory Coast.”

Despite the Minorty’s criticism, the recent increase was in line with recommendations from some observers in the industry.

The Ghana Civil-Society Cocoa Platform, for example, had proposed a 15 percent to 20 percent increment in the farm gate price of cocoa.

The increase in prices follows COCOBOD securing a syndicated loan of $1.13 billion for the 2022/2023 crop season.