Ghana, the world’s second-largest producer of cocoa, has seen its 2024 export earnings plummet to $1.7 billion—the lowest in 15 years.

An analysis of data from the Bank of Ghana shows that cocoa export earnings have fallen below the $2 billion mark, representing a sharp 25.4% decline in just a year. This drop is largely attributed to dwindling production, which has shrunk by over 11% within the same period.

The decline in forex inflows from cocoa is exacerbated by illegal mining activities (galamsey), smuggling, and crop diseases, all of which have significantly impacted yields. In just three years, Ghana’s cocoa output has fallen from over one million metric tonnes in 2021 to slightly above 500,000 tonnes in 2024. This dramatic reduction has also weakened the country’s ability to secure favorable terms in the syndicated loan market.

Despite Ghana and its western neighbor, Côte d’Ivoire, jointly accounting for over 60% of global cocoa production, both nations have struggled to benefit from the recent surge in global cocoa prices due to forward sales agreements. In 2024, global cocoa prices soared by a record 157%, yet Ghana recorded its lowest export revenue since 2010.

The country’s cocoa earnings have been on a downward trend since 2022, when production and export volumes started to decline. In October 2024, a JoyNews Research report projected that cocoa export earnings would fall below $2 billion, a development that has now materialized.

With earnings dipping below this critical threshold, Ghana’s already fragile economy faces increased pressure. The continued decline in cocoa revenue is expected to further strain the Ghanaian cedi, worsening the nation’s fiscal challenges.

About the writer:

Isaac Kofi Agyei is a Data & Research Journalist/Analyst at JoyNews based in Accra, where he covers mostly finance, economics, banking, and politics across Ghana and West Africa, from detailed analytical reports on all key issues to debt crises to IMF programmes. He also serves as the data and research correspondent for SBM Intelligence, an Africa-focused market/security leader in strategic research, providing actionable analyses of West Africa’s socio-political and economic landscape. With his solid academic background in economics and statistics and additional training from credible institutions such as the UNDP, Afrobarometr, Ghana Statistical Service, and a host of others, Isaac has honed his skills in effective data storytelling, reporting, and analysis.