Audio By Carbonatix
Cocoa farmers have been spared another potential loss in income after government decided against reducing the producer price, despite a downturn in international cocoa prices.
Head of Public Affairs at Cocobod, Jerome Sam, says the decision was driven largely by concerns about the welfare and livelihoods of farmers who have already endured significant challenges over the past year.
Speaking on Joy News’ PM Express on Monday, Mr Sam explained that price announcements during the cocoa season follow a long-established practice.
According to him, an official producer price is announced at the beginning of the season, and another announcement is usually made during the light crop season.
He noted that under Ghana’s pricing system, the producer price announced at the start of the season often remains unchanged throughout the period.
“This is a conventional thing, and it has been a practice all this while,” he said.
Mr Sam acknowledged that the current season has been unusual.
He said developments that began last year and continued into this year forced authorities to review prices in February, a move that sparked widespread debate within the sector.
“It is quite unfortunate, something happened that was this year,” he said, explaining that government and Cocobod had to intervene to protect an industry that contributes significantly to Ghana’s economy.
He stressed that the latest decision to maintain prices was not based on international market conditions.
Instead, he said government deliberately prioritised the welfare of cocoa farmers.
“What basically went into the price being unchanged, government took into consideration the income levels of the ordinary farmer,” he stated.
Mr Sam revealed that if authorities had closely monitored developments in the international market, farmers could have faced another reduction in the producer price.
He pointed to neighbouring Côte d’Ivoire, where cocoa prices are adjusted whenever global prices rise or fall.
“If we are to consider what is prevailing on the international market, then of course the price would have gone down again,” he said.
According to him, Ghana chose a different path because farmers had already suffered enough.
“The farmer has already been hit, so we need to make sure that the prices remain unchanged,” he explained.
He said the objective is to allow farmers to complete the season without another financial shock while government continues discussions on the future sustainability of the sector.
Mr Sam noted that any future decisions would be communicated clearly after the season ends.
He stressed that government is trying to strike a balance between protecting farmers and maintaining a sustainable cocoa industry capable of supporting livelihoods and contributing to the national economy.
“Inasmuch as we are protecting the farmer, we are also ensuring a sustainable sector,” he said.
Mr Sam maintained that concerns about the income and welfare of ordinary cocoa farmers ultimately shaped government’s decision.
“I can tell you that the government was largely very concerned about the income and livelihood of the ordinary cocoa farmer,” he added.
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