Ghana's cocoa production for the season ending in June has been reported at 429,323 metric tons, marking a significant decline from its average seasonal output, according to data released by the Ghana Cocoa Board (Cocobod) and reported by Reuters.

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This figure underscores the challenges faced by the world's second-largest cocoa producer due to adverse weather conditions, prevalent tree diseases, and illicit activities.

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The latest cocoa harvests from Ghana and Ivory Coast, the top global producers, have contributed to rising cocoa prices worldwide since the beginning of the year. Together, these nations typically supply about 60% of the global cocoa market. The reduced production from Ghana highlights a critical issue affecting global cocoa supply chains.

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Ghana's cocoa sector has been adversely affected by adverse weather patterns and diseases such as Swollen Shoot Disease (CSSVD). Moreover, illegal artisanal gold mining, known locally as galamsey, has posed significant challenges by damaging cocoa farms and diverting labor away from agricultural activities. These factors have particularly impacted regions like Ashanti and Western South, traditionally key contributors to Ghana's cocoa output.

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By the end of June, the Ashanti region produced 103,976 metric tons of cocoa beans, a notable decrease from the previous season's 160,855 tons.

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Similarly, the Western South region recorded 96,810 tons, down from 152,277 tons in the preceding season. The Western North and Western South regions, as well as the Volta/Oti region bordering Togo, remain vulnerable to smuggling activities that further hinder cocoa production.

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The production shortfall has also affected Ghana's ability to meet its contractual obligations with international traders and exporters. Cocobod reportedly faces difficulties in fulfilling its forward sales contracts, potentially necessitating delays in delivering up to 350,000 tons of cocoa beans to the next season.

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While Cocobod remains optimistic about a rebound in cocoa output to over 800,000 tons for the upcoming season starting in October, industry analysts caution that achieving this target may prove challenging amid ongoing production constraints.

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