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Ghana raises cocoa farmgate price from GH¢3,100 to GH¢3,228.75 per bag of 64-kg

Justice Agbenorsi Business News Aug - 04 - 2025 , 13:10

The government has increased the price of cocoa beans paid to cocoa farmers from GH¢49,600 per tonne to GH¢51,660 per tonne, with a target to pursue about 650,000 tonnes for the 2025/2026 cocoa year.

The increment represents GH¢3,228.75 per bag of 64-kilogramme gross weight of cocoa.

This was announced by the Minister of Finance, Dr Cassiel Ato Forson, at a press conference in Accra on Monday (Aug 4, 2025).

This increase in the producer price, he said represented a 70 per cent of the gross Free-On-Board (FOB) value of $7,200 per tonne adding that the increment was coming on the back of a strong Ghana Cedi and declining inflation, reflecting government’s commitment to improving the livelihoods of our cocoa farmers.

Attached below is a copy of the statement read by the minister at the press conference

GOVERNMENT ANNOUNCES PRODUCER PRICE OF COCOA FOR THE 2025/2026 COCOA SEASON

Accra, 4th August 202%

The Producer Price Review Committee (PPRC) on Cocoa, under my Chairmanship met and agreed on the Producer Price of Cocoa for the 2025/2026 season, which opens on Thursday, 7th August 2025.
Subsequent to this meeting, Government is pleased to announce an increase in the producer price of cocoa from US$3,100 per tonne to US$5,040 per tonne.
It is instructive to note that Government has by this decision increased the producer price significantly by 62.58% in US$ terms.
This increase in the producer price represents 70% of the gross Free-On-Board (FOB) value of $7,200 per tonne, and aligns with President Mahama’s promise to pay cocoa farmers 70% of the FOB price.
It is significant to note that for the 2024/25 cocoa season, the previous NPP administration set an FOB value of US$4,850 per tonne of cocoa, and the producer price at US$3,100, representing 63.9% of FOB, even though the world market price at the time was much better.
The Gross FOB value was arrived at using outstanding cocoa contracts of about 100,000 tonnes sold at US$2,600 per tonne in the 2023/2024 crop season, and average forecast for the 2025/2026 crop season.
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 producer price of cocoa from GH¢49,600 per tonne to GH¢51,660 per tonne.
This further translates to an amount of GH¢3,228.75 per bag of 64-kilogramme gross weight of cocoa.
Government further announces that this new price takes effect from Thursday, 7th August 2025.
This is coming on the back of a strong Ghana Cedi and declining inflation, reflecting Government’s commitment to improving the livelihoods of our cocoa farmers.
Since the second quarter of 2025, Government has taken steps to maintain the Cedi equivalent of the US$3,100 per tonne at GH¢16 to the US$1, translating to GH¢49,600 per tonne.
This measure by Government was to protect the cocoa farmer against the loss of income due to the strong performance of the Cedi.
By maintaining the price at GH¢3,100 per bag for several months now amidst the strong performance of the Ghana Cedi, Government has subsidised the cocoa farmer with an amount of GH¢1,114 for each bag of cocoa sold since the second quarter of 2025.
Ladies and Gentlemen, this intervention by Government moved the farmer share of the FOB from 63.9% to over 99%.
The Producer Price Review Committee has also approved rates, margins, and fees for all other stakeholders in the cocoa supply chain.
These include:

buyers’ margin

haulers’ rate

warehousing and internal marketing costs

fees for disinfestation

grading and sealing, and,

weighing scale inspection.

17. In preparation for the new season, COCOBOD has made available jute sacks and related logistics for the smooth take-off of the 2025/2026 crop Season.

18. Ladies and Gentlemen, and to the cocoa farmer, I am pleased to announce that President Mahama’s Administration has reintroduced the free cocoa fertiliser programme as an additional support to the Ghanaian cocoa farmer, beginning the 2025/2026 crop year.

19. Beginning this crop year, President Mahama’s administration will supply:

• free cocoa fertilisers (both liquid and granular),
• free insecticides,
• free spraying machines,
• free fungicides, and
• free flower inducers to farmers.

20. Government strongly advises cocoa farmers to apply these inputs solely for the purpose of improving cocoa yield and their income.

21. Ladies and Gentlemen, it is my pleasure to announce to cocoa farmers that President Mahama has introduced a Tertiary Education Scholarship Scheme for children of cocoa farmers.

22. Consequently, in the 2025/26 season, COCOBOD will develop modalities and implement the Cocoa Tertiary Scholarship Scheme for children of cocoa farmers, which will take effect from the 2026/27 academic year.

23. Ladies and Gentlemen, beginning 2025/2026 crop season, COCOBOD will roll-out a Ghana Cocoa Traceability System. This system will ensure that cocoa produced in Ghana can be traced from a plot of land to a port of shipment.

24. This all-new system will ensure that Ghana is in full compliance with the due diligence requirements of the European Union Deforestation Regulations which take effect from 31st December, 2025.

25. The Cocoa Traceability System places Ghana in a better position to supply cocoa that is traceable, deforestation-free, child labour-free, and compliant with EU regulations.

26. Beginning this year, COCOBOD will focus solely on its core mandate. This measure is to place COCOBOD firmly on the path of recovery and position COCOBOD to deliver critical services to the cocoa farmer and support the Ghanaian economy.

27. As part of the 2026 Budget, the Ghana Cocoa Board Act will be amended to make it illegal for COCOBOD to deviate or stray from its core mandate to protect the cocoa industry.

28. For emphasis, COCOBOD will no longer engage in quasi-fiscal activities. It will be a prohibition. COCOBOD must focus on increasing cocoa yields, improving the cocoa value chain and the wellbeing of the cocoa farmer.

29. Subsequently, Government has decided to transfer all ongoing cocoa roads projects to the Ministry of Roads and Highways.

30. Finally, Government reaffirms its confidence in the new leadership of COCOBOD to turnaround the cocoa industry.

31. Government is also committed to providing the needed support to the Ghana Cocoa Board to enable it boost cocoa yields, sustain the cocoa industry and reclaim its lost glory as the mainstay of Ghana’s economy.

Thank you for coming.
God bless the cocoa farmer.

DR. CASSIEL ATO FORSON
MINISTER FOR FINANCE