Kojo Oppong Nkrumah has warned that the government’s proposed cocoa pricing formula could leave cocoa farmers worse off.

The Ofoase Ayirebi MP argued that the planned reforms risk removing the certainty that has long supported Ghana’s cocoa sector.

Speaking on JoyNews’ PM Express on Tuesday, the Ranking Member on Parliament’s Economy and Development Committee said the Minority had asked Parliament not to rush the Cocoa Board reforms bill because of its far-reaching impact on the industry.

According to him, cocoa remains one of Ghana’s most important economic sectors and major policy changes should only be made after broad consultation with stakeholders.

“You don’t take major decisions like this in a rush,” he said, referring to what he described as the impact of Cabinet’s previous decision to cut cocoa prices by about 30%.

He said that decision affected many cocoa-growing communities across the country and should serve as a lesson on the consequences of hurried policy choices.

Mr Oppong Nkrumah said the proposed pricing formula raises serious concerns because it could undermine the minimum guaranteed farm-gate price that cocoa farmers currently rely on.

“The formula they want to use now for cocoa pricing, we think, is inimical to the interest of the cocoa industry,” he said.

He explained that while the proposal initially indicated farmers would receive 70% of Free on Board (FOB) prices, government has since introduced what he described as “some other mechanism” for determining prices.

He argued that the new system would make cocoa prices fluctuate instead of guaranteeing farmers a fixed price for the crop season.

“It will put a lot of our cocoa farmers at a disadvantage because what it will do is that it will not be able to do what we have done from times past, provide what we call the minimum guarantee farm-gate price,” he said.

Mr Oppong Nkrumah maintained that the guaranteed price has been a key incentive for cocoa production because farmers begin each season knowing the minimum price they will receive.

“It’s going to be undulating, which we think is not helpful for the peculiar type of industry that we have,” he added.

He said the Minority is therefore pushing for wider consultations before Parliament considers the legislation.

“We’ve asked that they don’t rush it through. Let’s have an opportunity to engage. Let’s bring cocoa farmers in. Let’s hear from them. Let’s have their input into the law that you want us to pass,” he said.

He stressed that discussions on the bill are still ongoing and insisted that the Minority would continue to make further submissions before Parliament reaches a final decision.

“So again, on that one, it’s not a done deal yet. We will be making a lot more submissions on it,” he said.