The Minister for Food and Agriculture, Eric Opoku, has stated that cocoa farmers are better off under the current pricing regime despite the recent reduction in the producer price of cocoa.

Speaking in an interview on Ekosii Sen on Asempa FM, the Minister argued that the real income of farmers has improved compared to the era of the New Patriotic Party (NPP).

He explained that in 2024, when a bag of cocoa sold for GH₵3,100 and cement cost GH₵120 per bag, a farmer could purchase about 26 bags of cement with the proceeds from one bag of cocoa.

However, he said that with the current cocoa price of GH₵2,587 and a drop in cement prices to about GH₵80 per bag—largely due to exchange rate stability—a farmer can now buy approximately 32 bags of cement with one bag of cocoa.

“If cocoa prices increase, we will all benefit. In 2024, one bag of cement was priced at GH₵120, while cocoa was sold for GH₵3,100. During the NPP era, a farmer could use one bag of cocoa to purchase 26 bags of cement. If the farmer’s real income increases, then the farmer is better off.

“Currently, the price of cocoa has decreased to GH₵2,587, but a farmer can purchase 32 bags of cement, primarily due to exchange rate improvements. As a result, the price of cement has dropped to GH₵80 per bag,” he said.

Mr. Opoku further noted that fuel prices have also declined, increasing farmers’ purchasing power. According to him, under the previous administration, proceeds from one bag of cocoa could buy about 34 gallons of petrol, but currently can purchase about 53 gallons.

“Thus, a rational cocoa farmer would weigh the comparison carefully. Even though prices have fallen, the farmer’s real income has appreciated, which is the most crucial factor. Additionally, fuel prices influence every aspect of production, including cocoa farming, as farmers depend on fuel for irrigation and transportation,” he stated.

He stressed that although the nominal price of cocoa has reduced, what matters most is the real income and purchasing power of farmers, which he believes has significantly improved.

“During the NPP era, one bag of cocoa could buy about 34 gallons of petrol. However, due to the reduction in fuel prices linked to exchange rate stability, a farmer can now purchase about 53 gallons of petrol with one bag of cocoa. Comparatively, this situation is better for farmers. We also plan to present a bill to Parliament to provide for automatic price adjustments that will benefit the farmer,” he added.