Dr. Cassiel Ato Forson
The government has announced an increase in the producer price of cocoa, raising it from US$3,100 to US$5,040 per tonne for the 2025/2026 crop season – a 62.58% jump.
The Minister of Finance, Dr. Cassiel Ato Forson, who made the announcement in Accra yesterday, explained that the new price represents 70% of the gross Free-On-Board (FOB) value of US$7,200 per tonne, adding that the adjustment is aimed at boosting farmer income and aligning with current international market trends.
“The Producer Price Review Committee (PPRC) has agreed to increase the producer price of cocoa from US$3,100 to US$5,040 per tonne. At an average exchange rate of GH¢10.25 to the US dollar for the 2025/2026 crop season, the government is pleased to announce an increase in the cedi equivalent from GH¢49,600 to GH¢51,660 per tonne,” Dr. Forson said.
He noted that in the 2024/2025 crop season, the previous administration pegged the FOB value at US$4,850 per tonne, with farmers receiving US$3,100, representing 63.9% of the FOB value, despite more favourable global market conditions.
“It is instructive to note that this new decision reflects a 62.58% increase in the producer price in US dollar terms. Importantly, it fulfils the NDC’s manifesto pledge and President Mahama’s commitment to ensure cocoa farmers receive 70% of the FOB price,” the minister stated.
Dr. Forson added that the current gross FOB value was calculated based on outstanding contracts totaling approximately 100,000 tonnes sold at US$2,600 per tonne during the 2023/2024 crop season, combined with average forecasts for the 2025/2026 season.
He further noted that the new price translates to GH¢3,228.75 per 64-kilogramme bag of cocoa (gross weight). The Government, he said, has also taken measures to maintain the cedi equivalent of a US$3,000 per tonne cocoa price at an exchange rate of GH¢16 to US$1, equating to GH¢49,600 per tonne since the second quarter of 2025.
The Minister said the Producer Price Review Committee had also approved rates margins and fees for all other stakeholders in the cocoa supply chain which include buyers margins, haulers rate, warehousing and internal marketing costs, fees for disinfestation, grading and sealing as well as weighing scale inspection.
He also announced that the government has also reintroduced the free cocoa fertiliser programme as an additional support to cocoa farmers starting from the 2025 crop year while ensuring that cocoa farmers have jute sacks and related logistics for the smooth-take off of the 2025/2026 crop season.
“Beginning this crop year, President Mahama’s administration will supply free cocoa fertilisers, free insecticides, free spraying machines, free fungicides and free flower inducers to farmers,” he added.
By Ebenezer K. Amponsah