Accra, August 4, 2025 – The Government of Ghana has announced a significant increase in the producer price of cocoa for the 2025/2026 cocoa season, raising it from GH¢49,600 per tonne to GH¢51,660 per tonne. This new price translates to GH¢3,228.75 per 64-kilogramme bag of cocoa.

The announcement was made by the Minister for Finance, Dr. Cassiel Ato Forson, at a press conference in Accra on Monday, August 4. Dr. Forson explained that the increment represents 70 percent of the gross Free-On-Board (FOB) value of $7,200 per tonne, aligning with President John Mahama’s commitment to ensure cocoa farmers receive a fair share of international market prices.

According to the Minister, the Producer Price Review Committee (PPRC), which he chairs, met recently and agreed on the new producer price for the season, which officially opens on Thursday, August 7, 2025. The new rate represents a 62.58 percent increase in dollar terms, moving the producer price from US$3,100 per tonne to US$5,040 per tonne.

“This significant increment is a bold step to secure the livelihoods of our hardworking cocoa farmers and reflects the government’s resolve to improve farmer incomes amidst a strong Ghana Cedi and declining inflation,” Dr. Forson stated.

Correction of Past Disparities

Dr. Forson criticised the previous administration for failing to adequately compensate cocoa farmers, citing that for the 2024/25 season, farmers were paid only 63.9 percent of the FOB value, despite favourable global market conditions. In contrast, the current increase ensures that farmers are paid 70 percent of the FOB price, consistent with international best practices.

He further explained that the gross FOB value of $7,200 per tonne was determined based on a combination of outstanding contracts and forecasted prices for the new season. With an average exchange rate projection of GH¢10.25 to the US dollar, the government settled on the new producer price in cedi terms.

Subsidy Intervention and Farmer Protection

Dr. Forson disclosed that from the second quarter of 2025, the government has implemented measures to stabilize the income of cocoa farmers against currency fluctuations. By maintaining the cedi equivalent of US$3,100 per tonne at GH¢16 to the dollar, the government effectively subsidised farmers to the tune of GH¢1,114 per bag during the period of cedi appreciation.

“This proactive intervention moved the farmer’s share of the FOB from 63.9 percent to over 99 percent in recent months, ensuring that our farmers do not lose income due to currency gains that, in the past, only benefitted buyers and exporters,” he noted.

Comprehensive Support Package for Cocoa Farmers

In addition to the price increment, Dr. Forson announced a comprehensive package of interventions aimed at boosting cocoa yields and enhancing farmer welfare. Key initiatives include:

• Reintroduction of the Free Cocoa Fertiliser Programme: Starting from the 2025/2026 season, cocoa farmers will receive free fertilisers (both liquid and granular), insecticides, fungicides, spraying machines, and flower inducers.
• Cocoa Tertiary Scholarship Scheme: A new scholarship programme will be rolled out for children of cocoa farmers, with implementation set for the 2026/2027 academic year.
• Ghana Cocoa Traceability System: COCOBOD will implement a system to trace cocoa beans from farm to port, ensuring compliance with the European Union’s Deforestation Regulation (effective December 31, 2025). This will position Ghanaian cocoa as traceable, deforestation-free, and child-labour-free.
• Operational Reforms at COCOBOD: The Minister announced that COCOBOD will refocus exclusively on its core mandate of improving cocoa yields and supporting farmers. To this end, all cocoa road projects will be transferred to the Ministry of Roads and Highways.
• Amendments to the Ghana Cocoa Board Act: As part of the 2026 Budget, the Act will be revised to prohibit COCOBOD from engaging in quasi-fiscal activities, ensuring it remains dedicated to the cocoa sector.

Dr. Forson emphasized that these measures are designed to safeguard the future of Ghana’s cocoa industry, restore its competitiveness, and reclaim its position as the backbone of the Ghanaian economy.

Confidence in COCOBOD’s Leadership

The Minister also expressed confidence in the new leadership at COCOBOD, indicating that they are well-positioned to steer the industry back on the path of recovery and growth. “The government remains committed to providing COCOBOD with the necessary support to increase cocoa yields, sustain the cocoa industry, and reclaim its lost glory,” he said.

In conclusion, Dr. Forson reaffirmed the government’s dedication to the welfare of cocoa farmers, stating, “Every policy intervention is aimed at ensuring that the Ghanaian cocoa farmer enjoys a dignified and sustainable livelihood. This is not just an economic strategy; it is a moral imperative.”

The new producer price and all associated interventions take effect from Thursday, August 7, 2025.