Ghana’s Minister for Finance, Dr. Cassiel Ato Forson, has announced a significant increase in the producer price of cocoa, ahead of the opening of the 2025/2026 season on Thursday, August 7, 2025.
In a Facebook post on Monday, Dr. Forson, who chairs the Producer Price Review Committee (PPRC), revealed that the government has approved a new price of US$5,040 per tonne, up from US$3,100 per tonne in the previous season. The adjustment represents a 62.58% increase in dollar terms.
“This decision reflects our commitment to the welfare of Ghanaian cocoa farmers,” Dr. Forson stated. “The new price constitutes 70% of the gross Free-On-Board (FOB) value of US$7,200 per tonne, aligning with President Mahama’s pledge to pay farmers at least 70% of the world market value.”
In cedi terms, the new producer price has been adjusted from GHS49,600 to GHS51,660 per tonne, based on an average exchange rate of GHS10.25 to the US dollar. This translates to GHS3,228.75 per 64-kg bag of cocoa.
Dr. Forson also contrasted the current government’s pricing strategy with that of the previous administration. For the 2024/25 season, under the NPP, the producer price stood at US$3,100 per tonne, representing 63.9% of the FOB price of US$4,850—despite higher world market conditions at the time.
The gross FOB value for the new season was calculated using outstanding contracts for about 100,000 tonnes of cocoa sold at US$2,600 per tonne during the 2023/2024 season, alongside the projected average for 2025/2026.
“This new price takes effect from Thursday, 7th August 2025,” Dr. Forson confirmed.
The announcement has been met with cautious optimism from industry players and farmer groups, who continue to call for deeper reforms to address issues such as illegal mining, smuggling, and declining yields in Ghana’s cocoa sector.
Source: www.kumasimail.com