FARMERS’ WELFARE IS OUR PRIORITY – COCOBOD CE

Date: 25th June 2024

The Chief Executive of Ghana Cocoa Board (COCOBOD), Hon Joseph Boahen Aidoo, has reaffirmed COCOBOD’s commitment to the welfare of Ghanaian cocoa farmers.

Hon Aidoo reiterated this during a meeting with some members of the Coalition of Concerned Cocoa Farmers at Cocoa House in Accra. The meeting discussed the challenges faced by farmers and the future of the Ghana cocoa industry.

He emphasised that COCOBOD is deeply committed to farmers' welfare and success in recognition of their contribution to Ghana's cocoa industry. 

“COCOBOD is here because of the cocoa farmer and for the cocoa farmer. Even though we are portrayed as being unconcerned about your plight, COCOBOD recognises your challenges and is committed to ensuring that you continue to receive the necessary support and well-deserved reward for your hard work,” he said. 

The delegation, led by the Coordinator of the Coalition, Mr. Johnson Siem, expressed some grievances which they believe are responsible for the decline in the cocoa business. Other issues discussed centred on cocoa prices, COCOBOD’s sales approach of cocoa and farmer welfare. 

Responding to the concerns raised, Hon Aidoo explained the global cocoa marketing and its dynamics. He stated that on the global cocoa market, the prices are determined by the forces of demand and supply of cocoa. 

The COCOBOD Chief explained that the Board's adoption of the forward sales strategy aims to mitigate the risks associated with spot sales. He highlighted that the forward sales policy helps secure better prices due to its predictability, unlike the uncertainties inherent in spot sales. 

“We opt for forward sales because it helps us secure better prices for our farmers and shields them from the uncertainties of the spot market, ensuring that they receive a fair return for their cocoa. Forward sales have always been higher than spot sales. Unfortunately, in the past year there has been an inversion because of the effects of El Niño,” he emphasised.

Hon Aidoo urged farmers to adhere to good agronomic practices to maximize their yields. He also cautioned them against cocoa smuggling emphasising its potential to hinder Ghana’s ability to fulfil its obligations from the forward contracts.

Hon Aidoo outlined plans to redirect funds originally allocated for the secondary school scholarship scheme towards addressing other educational needs within the cocoa farming communities.

“As part of our commitment to farmer wellbeing, COCOBOD has established an educational trust to redirect funds from the scholarship scheme. These funds will be used to refurbish and equip schools in cocoa-growing communities with the required amenities to provide conducive learning environments for the children of cocoa farmers,” he concluded.

Mr. Siem, on behalf of the farmers, expressed appreciation for the opportunity to meet with the Chief Executive and discuss the pertinent issues affecting cocoa farmers. He called on management to enhance engagement with farmers, advocating for more farmer involvement in cocoa-related, decision-making processes to foster a better understanding of the operations of the industry.