The government is set to present a new Cocoa Board Bill in Parliament as part of wide-ranging reforms aimed at stabilising Ghana’s cocoa sector and safeguarding farmers’ incomes, Finance Minister Dr. Cassiel Ato Forson has announced.
Speaking at a press briefing on Thursday, Dr. Ato Forson explained that the proposed legislation will overhaul how cocoa prices are determined, ensuring that farmers’ earnings reflect changes in global market prices and domestic economic conditions.
Under the bill, producer prices will be automatically adjusted based on world cocoa prices, exchange rate movements, and other key economic indicators. This mechanism is expected to eliminate long delays in price reviews and protect farmers from underpayment when market conditions fluctuate.
A key feature of the bill is a guaranteed minimum payout for farmers. “Cabinet has therefore decided on the following reforms to guarantee a fair price to the cocoa farmer, secure the financial viability of the cocoa sector, and ensure the long-term sustainability of the cocoa industry,” Dr. Ato Forson stated.
He added that the law will ensure cocoa farmers receive at least 70 per cent of the gross Free on Board (FOB) price, reinforcing income security for producers nationwide.
The Finance Minister noted that the Cocoa Board Bill is part of broader reforms designed to restore confidence in the sector, improve transparency in pricing, and protect the livelihoods of the hundreds of thousands of households that rely on cocoa.
Once laid before Parliament, the bill is expected to redefine COCOBOD’s pricing framework and align Ghana’s cocoa industry more closely with international market realities.
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