News:
August 8, 2025
Majority in Ghana’s Parliament has responded to the claims that Government is cheating cocoa farmers as the increase in the cocoa price is lower than what they promised when they were in opposition.
The Chairman of Parliament’s Committee on Economy and Development and Member of Parliament for Amenfi West, Eric Afful, has defended the government’s recent increase in the cocoa producer price, arguing that cocoa farmers are better off under the new rate despite criticism from the Minority in Parliament.
His comments follow the government’s announcement of a new producer price of $5,040 per ton for the 2025/2026 cocoa season — a 62.58% increase from the previous US$3,100.
The increment has been met with sharp criticism from the Minority, who described it as “ridiculous, unfair, and completely unacceptable.”
The opposition caucus further warned that inadequate compensation could drive farmers to abandon their cocoa farms in favour of illegal mining, aggravating the country’s galamsey crisis and endangering the future of Ghana’s cocoa sector.
But addressing the media on Wednesday, August 6, 2025, Mr. Afful dismissed these claims, insisting that the new price significantly improves the purchasing power of cocoa farmers.
“The value of the Cedi has appreciated, so it means that for a bag of cocoa to cost Ghc3,228.75, the farmer can buy more goods and services compared to 2024,” he said.
“This is because the price of goods and services is down. Simply put, the farmer is not worse off — the farmer is better off.”
According to Mr. Afful, the producer price reflects the current exchange rate, which stands at Ghc10 to US$1, offering greater value than would have been the case if the rate had depreciated to Ghc16.
“If the Cedi to the Dollar had stood at Ghc16.00, the farmer should have been paid Ghc5,040 per bag as a producer price, which makes the difference,” he added.
Mr. Afful also compared the current figures to those under the previous administration, noting that for the 2024/2025 season, the former government set the Free-on-Board (FOB) value at US$4,850 per tonne, with farmers receiving US$3,100 — just 63.9% of the FOB, despite stronger global prices at the time.
Government sources have explained that the new FOB value was derived from outstanding contracts for 100,000 tonnes sold at US$2,600 per tonne in the 2023/2024 crop season, along with market forecasts for the upcoming season.
Kwaku Sakyi-Danso/Ghanamps.com