2023/2024 cocoa season: Stakeholders project increase in farm gate price to GHS 1,380
Ahead of Government’s announcement of the 2023/2024 farm gate price for cocoa, stakeholders are projecting an increase in producer price from the current GHS 800 to GHS 1,380 per bag of cocoa beans.
This projected rise is as a result of prevailing rates on the international market.
Government through the COCOBOD is scheduled to announce the new cocoa price for the 2023/2024 season on later this week against an original date in October.
Recent reports suggest that there have been series of cocoa smuggling across the Western and Eastern borders of the country.
To curb this development, some cocoa farmers are pushing for an increase in the farm gate prices of cocoa.
The Founder of Cocoa Mmaa, Leticia Yankey addressed the press on behalf of the Ghana Civil Society Cocoa Platform.
“We expect the net country cocoa selling price to be not less than $3, 146. Based on the 2022/2023 parameters for calculating the net FoB for cocoa beans, we expect the net FoB for 2023/ 2024 cocoa season to be not less than 80% of the prevailing producer price, which should be around $ 2, 518,” she explained
She further stated that : “By applying the PPRC working assumption of the minimum 70 % of net FoB going to farmers as producer price, that translate into $ 1, 762 per tonne for the farmer. This figure is less the $400 LID that was instituted and charged by the COCOBOD on all futures for 2022/ 2023 cocoa season.”
“Assuming COCOBOD gives all the $400 to the farmer, that brings the farm gate price to $ 2162 per tonne ( $ 135 per bag) for the 2023/2024 cocoa season. Using the year –on-year BoG exchange rate of GHS 10.2 cocoa farmers are expecting not less than GHS 22,080 per tonne of cocoa beans which should translate into minimum of GHS 1,380”, she projected.
Source: Ghana Business
