Tag: COCOBOD

  • Ghana keeps 2025/2026 cocoa price unchanged despite Côte d’Ivoire’s raise

    Ghana keeps 2025/2026 cocoa price unchanged despite Côte d’Ivoire’s raise

    Ghana Cocoa Board (COCOBOD) has said that the price paid to farmers for cocoa will stay the same for the 2025/2026 season.

    This decision comes even though cocoa prices have changed in some areas and the global market remains unstable.

    In a letter dated April 8 and sent to the Licensed Cocoa Buyers’ Association of Ghana (LICOBAG), COCOBOD explained that the decision was made after carefully reviewing the cocoa sector’s current financial and operational situation.


    “This decision comes after careful consideration of the operational and financial implications for the cocoa industry,” said Dr. James Kofi Kutoati, Acting Deputy Chief Executive, Operations.

    At the moment, cocoa farmers in Ghana earn GH₵3,100 for each 64kg bag of cocoa, which adds up to GH₵49,600 per tonne. This is a very slight increase of 0.03% from the price set in September for the 2024/2025 season.

    COCOBOD explained that keeping the price steady is meant to help maintain stability and ensure the long-term growth of the cocoa industry.

    It also said the decision fits with current global market trends and is aimed at supporting cocoa farmers.

    While Côte d’Ivoire, Ghana’s neighbor, has recently raised its cocoa price, Ghana has decided not to make any changes for now.

    Still, COCOBOD said it may consider adjusting prices, fees, and margins for industry players later in the season.

  • Roads Minister, COCOBOD CEO engage to address funding stalled cocoa roads projects

    Roads Minister, COCOBOD CEO engage to address funding stalled cocoa roads projects

    Minister for Roads and Highways, Hon. Kwame Agbodza, and the Chief Executive Officer of COCOBOD, Dr. Ransford Abbey, have met to explore sustainable funding solutions for stalled cocoa roads projects across the country.

    The high-level discussions, held earlier today, focused on securing financial resources to complete critical road infrastructure in cocoa-growing regions.

    As a key outcome of the meeting, a joint technical committee has been established, comprising experts from both the Ministry of Roads and Highways and COCOBOD. The committee has been tasked with rationalizing the cocoa roads portfolio, assessing outstanding commitments, and determining COCOBOD’s financial exposure regarding these projects.

    The committee is expected to submit a comprehensive report within three weeks, detailing recommendations on resource allocation and strategies for the completion of ongoing and stalled cocoa roads projects.

    This rationalization process will include a thorough review of financial commitments and measures to ensure efficient use of available funds, providing a clear roadmap for addressing infrastructure deficits in cocoa-growing areas.

    Hon. Kwame Agbodza reaffirmed the government’s dedication to delivering quality road infrastructure, emphasizing its importance to economic growth in cocoa-producing communities.

    “Improving road access in these regions is crucial for boosting productivity, ensuring smooth transportation of cocoa produce, and ultimately contributing to Ghana’s economic growth,” he stated.

    This initiative is expected to accelerate the completion of vital road networks, enhancing accessibility and supporting the nation’s cocoa industry.

  • ECG, COCOBOD and BoG drowning in debt – Ato Forson

    ECG, COCOBOD and BoG drowning in debt – Ato Forson

    Finance Minister Dr. Cassiel Ato Forson has revealed that the Bank of Ghana (BoG) is currently facing a negative equity of GHS55 billion, a financial burden inherited from the previous administration.

    He stressed the urgency of government intervention to restore stability to the central bank’s finances.

    Speaking on Channel One TV on Wednesday, March 12, Dr. Forson explained that the BoG’s financial position remains deeply in deficit.

    “The Bank of Ghana has a negative equity as we speak under the previous administration. They have a negative equity of GHS55 billion, and so their balance sheet is such that they will need the government to bail them out with some money so that they will be able to move from a negative equity to a positive equity,” he stated.

    Dr. Forson also highlighted the significant debts owed by key government agencies, including the Road Fund, COCOBOD, and the Electricity Company of Ghana (ECG).

    He revealed that the Road Fund has accumulated a debt of GHS5.5 billion, COCOBOD owes GHS32 billion, while ECG’s outstanding payments to suppliers amount to GHS68 billion, in addition to a $1.73 billion debt to Independent Power Producers (IPPs).

    “Road Fund owing about GHS5.5 billion, then you have the likes of GETFund, DACF they have their own debt. Then COCOBOD, ECG. COCOBOD owes GHS32 billion, ECG owes GHS68 billion. They owe contractors who have done work,” he stated

    He further pointed out that ECG’s financial struggles stem from its inability to fully remit collected revenue.

    Dr. Forson warned that if these mounting debts—particularly in the energy sector are not urgently addressed, they could have severe consequences on the country’s financial stability.

    “ECG’s situation is so bad that they are supposed to collect the power that they consume. Unfortunately, they buy the power they are supposed to sell to consumers like yourself, collect the money and pay, but the data we’ve seen so far shows ECG collects like GHS1.5 billion, keeps GHS500 million, and pays only GHS1 billion.

    “As a result, they are unable to pay IPPs, and as we speak, the government of Ghana through ECG owes IPPs $1.73 billion. Coupled with the $1.70 billion, they also owe suppliers another GHS68 billion,” stated Dr. Forson.

  • COCOBOD, farmers to lose $495m at the completion of rolled-over contracts – Mahama

    COCOBOD, farmers to lose $495m at the completion of rolled-over contracts – Mahama

    COCOBOD and Ghanaian cocoa farmers are set to lose a staggering $495 million by the time all outstanding rolled-over contracts are fulfilled, President John Dramani Mahama has disclosed.

    Delivering the 2025 State of the Nation Address in Parliament, he attributed the losses to poor financial decisions and mismanagement within the cocoa sector in recent years.

    “The hope of cocoa farms is also highly indebted. Its balance sheet indicates a total debt of GH¢32.5 billion, of which GH¢9.7 billion is due to be paid at the end of September 2025,” Mahama stated.

    He revealed that in the 2023/24 crop season, COCOBOD was unable to supply 333,767 metric tonnes of cocoa that had already been sold at $2,600 per tonne. Instead, the contracts were deferred to the 2024/25 season, leading to significant financial setbacks.

    “This implies that for every tonne of cocoa delivered this year, in fulfillment of the rolled-over contract, COCOBOD and cocoa farmers are going to lose $4,000 in revenue,” he added.

    So far, COCOBOD has supplied 210,000 tonnes under the deferred contracts, incurring a revenue loss of $840 million. The remaining deliveries are expected to result in an additional $495 million loss, further deepening the financial strain on the cocoa sector.

    Beyond these losses, Mahama pointed to excessive spending on road projects under the Cocoa Roads Programme, which has worsened COCOBOD’s financial position. He disclosed that while commitments for cocoa roads amount to GH¢21.7 billion, only GH¢4.4 billion of this figure is reflected in COCOBOD’s official debt records.

    “This debt has arisen mainly because of the decision in 2019 and 2020 to award road contracts worth over a billion dollars because of the election,” he noted.

    COCOBOD’s worsening financial position has raised serious concerns about Ghana’s economic stability. A 2021 Auditor-General’s report put the regulator’s debt at GH¢12.3 billion ($1 billion) as of September 2020, but the situation has since deteriorated.

    Earlier this year, COCOBOD defaulted on payments for its 182-day treasury bill, rolling over GH¢940 million ($79 million) in outstanding securities, and later restructured debts amounting to GH¢7.93 billion ($661 million).

    Ghana had initially planned to secure $1.2 billion in syndicated loans for the 2023/24 cocoa season, but this was later revised to $800 million due to IMF-imposed debt management restrictions, marking the lowest financing secured in nearly two decades.

  • Govt to pay GHC9.7bn in September to settle part of COCOBOD debt – Mahama

    Govt to pay GHC9.7bn in September to settle part of COCOBOD debt – Mahama

    The government is set to pay GH¢9.7 billion by the end of September 2025 to settle part of COCOBOD’s growing debt, President John Dramani Mahama has revealed.

    Addressing Parliament during the 2025 State of the Nation Address, he detailed the financial distress facing the cocoa sector, warning that mismanagement and poor decisions in recent years have plunged COCOBOD into severe debt.

    “The hope of cocoa farms is also highly indebted. Its balance sheet indicates a total debt of GH¢32.5 billion, of which GH¢9.7 billion is due to be paid at the end of September 2025,” Mahama stated.

    He explained that COCOBOD’s financial struggles worsened after it failed to deliver 333,767 metric tonnes of cocoa sold in the 2023/24 crop season at $2,600 per tonne. The contracts were instead rolled over into the 2024/25 season, creating massive revenue losses for both the cocoa regulator and farmers.

    “This implies that for every tonne of cocoa delivered this year, in fulfillment of the rolled-over contract, COCOBOD and cocoa farmers are going to lose $4,000 in revenue,” he added.

    So far, COCOBOD has supplied 210,000 tonnes under the rolled-over contract, leading to an estimated revenue loss of $840 million. By the time all outstanding contracts are fulfilled, Mahama warned, COCOBOD and farmers would have lost a total of $495 million.

    Beyond the immediate revenue shortfalls, the president highlighted the additional financial burden caused by cocoa road commitments, which amount to GH¢21.7 billion. However, only GH¢4.4 billion of this figure is included in COCOBOD’s overall debt.

    “This debt has arisen mainly because of the decision in 2019 and 2020 to award road contracts worth over a billion dollars because of the election,” Mahama noted.

    COCOBOD’s financial decline has intensified concerns about Ghana’s economic outlook, particularly its ability to meet debt obligations. A 2021 Auditor-General’s report had placed COCOBOD’s debt at GH¢12.3 billion ($1 billion) as of September 2020, but the situation has significantly worsened in the years since.

    Earlier this year, COCOBOD defaulted on payments for its 182-day treasury bill, rolling over GH¢940 million ($79 million) in outstanding securities, and later restructuring debts totaling GH¢7.93 billion ($661 million).

    Ghana had initially planned to secure $1.2 billion in syndicated loans for the 2023/24 cocoa season, but this was later reduced to $800 million due to IMF-imposed debt management restrictions, marking the lowest financing secured in 18 years.

  • COCOBOD, GRA seizes 1,115 smuggled gallons of cocoa near Togo

    COCOBOD, GRA seizes 1,115 smuggled gallons of cocoa near Togo

    A truck carrying 1,115 gallons of cocoa beans has been intercepted at the Ave-Havi border in the Volta Region, near Togo, through a joint operation by the Ghana Cocoa Board (COCOBOD) and the Ghana Revenue Authority (GRA).

    Driven by Ibrahim Fatawu, the vehicle, registered as AS 2103-W, was found transporting the smuggled cocoa.

    As part of continuous efforts to combat illegal exports of Ghana’s premium cocoa, authorities uncovered the smuggled beans hidden in gallons inside the truck.

    COCOBOD’s Director of Special Services, Mr. Charles Amenyaglo, explained that the cocoa was being smuggled for sale in Togo to bypass Ghana’s regulated pricing system.

    Now under the custody of COCOBOD and GRA, the seized consignment remains subject to further investigations.

    Expressing his concerns, Mr. Amenyaglo remarked, “This interception is a proof that cocoa smuggling remains a serious issue in Ghana and we are intensifying our efforts to track down these illegal operations and protect our farmers and the economy.”

    The Board’s Head of Security has reiterated its dedication to safeguarding Ghana’s cocoa industry from illegal trade. “We remain vigilant and will continue working with security agencies to prevent the smuggling of cocoa, which threatens the livelihoods of our hardworking farmers and the economy as a whole.”

    Strict legal consequences await those caught in cocoa smuggling, as authorities have issued a strong warning against such activities.

    The latest interception underscores COCOBOD and the government’s determination to protect Ghana’s cocoa sector from illegal trade.

    To further safeguard the nation’s cocoa resources, COCOBOD’s management is urging the public to report any suspicious activities related to cocoa smuggling.

  • Prices of cocoa have not increased – COCOBOD

    Prices of cocoa have not increased – COCOBOD

    The Ghana Cocoa Board (COCOBOD) has addressed a viral flyer circulating on social media, claiming an increase in cocoa prices.

    The board firmly rejected these claims, clarifying that no such price hike has been declared.

    COCOBOD confirmed that the current cocoa prices remain unchanged, and no official announcements regarding price adjustments have been made.

    In a statement shared on its Facebook page on February 17, 2025, COCOBOD called on the public and stakeholders to ignore the misleading flyer and urged caution against the spread of misinformation.

    The board reassured everyone that any updates about cocoa prices would be shared through its official channels.

    The flyer falsely suggested that the Minister of Food and Agriculture, Eric Opoku, had declared that cocoa farmers would receive 70% of the global market price.

    COCOBOD has denied this assertion, clarifying that no such announcement was ever made.

    “Our attention has been drawn to a false flyer circulating on social media, claiming that the Minister for Food and Agriculture has announced an increase in cocoa prices. This information is completely untrue. We urge our cherished stakeholders and the public to disregard this fake news and rely only on official communication from COCOBOD and the ministry,” the statement read.

  • Charges against former COCOBOD CEO Opuni, Seidu Agongo dropped by the State

    Charges against former COCOBOD CEO Opuni, Seidu Agongo dropped by the State

    The criminal charges against former CEO of COCOBOD, Dr. Stephen Kwabena Opuni, and businessman Seidu Agongo have been dropped, with the State formally requesting the withdrawal of all charges.

    This development marks the end of an eight-year-long legal battle for the two individuals, who had been facing a range of serious allegations.

    State Attorney Enam Loh Mensah informed the court on Tuesday, “My Lord, pursuant to this, the Republic has filed notice of withdrawal.”

    The charges, which included allegations of defrauding the State by false pretenses, willfully causing financial loss, and violating public procurement laws, were initially leveled against the accused in 2018. The pair had consistently denied the charges, which involved claims of fraudulent activity in the procurement of sub-standard fertilizer.

    Counsel for the two accused, Samuel Cudjoe and Benson Nutsukpui, confirmed in court that they had been served with the notice of withdrawal.

    Agongo, who is the CEO of Agricult Ghana Limited, was accused of selling substandard fertilizer to COCOBOD. Dr. Opuni, in turn, was alleged to have waived proper testing and certification procedures for the fertilizer, which was then distributed to farmers and purportedly resulted in poor yields.

    The charges stemmed from an accusation that the duo caused a financial loss of GH¢271.3 million to the State. Throughout the legal proceedings, both men denied all charges and were granted bail set at GH¢300,000 each.

    The case, which began in March 2018, saw numerous twists and turns. At various points during the trial, the defense team suggested that the case was politically motivated, with accusations of bias against the judiciary.

    One such instance occurred in March 2020, when the defense team accused the trial judge, Justice Clemence Honyenuga, of bias after he publicly praised President Nana Akufo-Addo’s leadership. Justice Honyenuga, who was also the Paramount Chief of the Nyagbo Traditional Area, had made the statement during a visit by the President to the Volta Region.

    “We wish to congratulate you on the excellent manner in which you are governing this dear country of ours. It is our hope that with your vision and the gains made in your first term, Ghanaians will consider giving you another four years,” Justice Honyenuga, also known as Torgbui Nyagasi, said.

    The defense lawyers for Dr. Opuni argued that the judge’s comments, even in his role as a traditional leader, indicated his support for President Akufo-Addo, thereby compromising his neutrality and fairness in the case.

    However, Justice Honyenuga rejected their request to recuse himself from the case, calling it “incompetent and misconceived.”

    After Justice Honyenuga retired, the case was reassigned to Justice Kwasi Anokye Gyimah. In April 2023, Justice Gyimah ruled to start the trial afresh rather than proceed with the previous proceedings, which were clouded by the many allegations and disputes.

    “It would be unfair for the court to ignore the allegations and adopt the previous proceedings as it is. In order for the court to have a first-hand information of the trial and the demeanor of witnesses, the court will start the trial ‘De Novo’,” he stated, signaling a fresh approach to the case.

  • Joseph Boahen Aidoo steps aside as COCOBOD boss

    Joseph Boahen Aidoo steps aside as COCOBOD boss

    Joseph Boahen Aidoo, Chief Executive Officer of the Ghana Cocoa Board (COCOBOD), has officially resigned from his position, effective January 7, 2025.

    His decision follows a directive issued on January 13, 2025, which called for the dissolution of boards across all State-Owned Enterprises (SOEs).

    In a letter addressed to President John Dramani Mahama on January 16, Mr. Aidoo explained that stepping down would facilitate a smooth transition and enable stakeholders and partners to establish connections with the incoming leadership. This decision comes despite his renewed mandate being set to expire in July 2025.

    Mr. Aidoo pledged his unwavering support for the cocoa sector and assured his cooperation during the transition period.

    He also expressed gratitude to former President Nana Addo Dankwa Akufo-Addo for granting him the opportunity to serve as COCOBOD’s CEO for the past eight years.

    “I hereby tender my resignation as Chief Executive of the Ghana Cocoa Board, effective January 7, 2025,” his letter concluded.”

  • We’ll protest on Dec 7 if you don’t pay our GHS3bn arrears – Cocoa Road Contractors to govt

    We’ll protest on Dec 7 if you don’t pay our GHS3bn arrears – Cocoa Road Contractors to govt

    The Cocoa Road Contractors have threatened to boycott the upcoming general elections and stage a protest on election day.

    This planned demonstration is in response to the government, the Ministry of Agriculture, and the Ghana Cocoa Board’s (COCOBOD) failure to settle over GH¢3 billion owed to them.

    Explaining their decision to protest, the contractors emphasized that all efforts to secure their payments have been unsuccessful.

    In an interview on Peace FM on November 27, 2024, the contractors stated that they would only rescind their plans if their demands are fully met.

    “We will boycott the elections and stage demonstrations on the election day if our demands are not met,” one said.

    The Cocoa Road Contractors lamented COCOBOD’s repeated promises, which they claim have not been honored. They have also urged their members to join the movement to ensure their grievances are addressed.

    “We have constructed these roads for a very long time without payment, so we demand our money as a matter of urgency,” a contractor stated.

    The Vice Chairman of the Ghana Chamber of Construction Industry (GCCI), Nana Opare Kwarfo, has expressed support for the contractors’ demands.

    He noted that their united stance could prompt the government to act swiftly on the matter. However, he cautioned that staging a protest on election day might have broader implications and should be reconsidered.

    He also appealed to contractors to remain calm, assuring them that the GCCI is actively engaging with the relevant authorities to resolve the issue.

    “Boycotting the elections and staging demonstrations will aggravate things, especially in the ongoing negotiations period, so we urge them to hold on with their agitations as we try to find solutions to their problems,” he said.





  • COCOBOD successfully converts shea to biodiesel

    COCOBOD successfully converts shea to biodiesel

    The Ghana Cocoa Board (COCOBOD), in partnership with the Cocoa Research Institute of Ghana (CRIG), has successfully developed biodiesel from shea butter, according to CEO Joseph Boahen Aidoo.

    While addressing a gathering of chiefs and cocoa farmers in Offinso, Konongo Odumase, and Juaso in the Ashanti Region, Mr. Aidoo shared that CRIG’s research has significantly shortened the growth period of shea plants, reducing it from 35-40 years to just three years.

    He explained that this breakthrough has the potential to transform shea farming in northern Ghana, creating new economic opportunities for farmers.

    Mr. Aidoo also pointed out that as shea farming expands, the market value of shea butter may decrease. To optimize its economic impact, he instructed CRIG to explore the possibility of using shea butter for biodiesel production.

    Although the production of biodiesel has been successfully achieved, it has not yet entered the commercial phase.

    He expressed hope that this innovation could play a key role in the renewable energy sector and benefit cocoa farmers, many of whom use premixed fuel for their farming equipment.

    Looking ahead, Mr. Aidoo predicted that Ghana could eventually stop importing premixed fuel as local farmers cultivate enough shea nuts to support biodiesel production.

    “We now have shea nut seedlings that grow within just three years, and we are providing them to farmers in the northern parts of the country,” he said.

    “This biodiesel works like premixed fuel, the same kind used in machines on our cocoa farms – whether for spraying, weeding, or pruning.”

    Mr. Aidoo added that ongoing research is focused on ensuring the biodiesel is suitable for use in vehicles.

    As part of this effort, COCOBOD has initiated a shea plantation in Bole, located in the Savannah Region, and has also established an extensive nursery to cultivate premium seedlings for local farmers.

    Transforming shea butter into biodiesel presents an exciting opportunity to broaden the economic benefits of shea farming in the area.

  • Address deforestation, unpaid allowance, others – Cocoa farmers to COCOBOD

    Address deforestation, unpaid allowance, others – Cocoa farmers to COCOBOD

    A group of Ghanaian cocoa farmers has formally appealed to the Ghana Cocoa Board (COCOBOD), urging it to tackle persistent challenges in the industry, including deforestation, child labour, hazardous pesticide use, and the delay in paying farmers’ living allowance.

    The farmers’ complaint, supported by the University of Ghana School of Law, Civic Response, and the Corporate Accountability Lab, seeks to hold COCOBOD accountable by testing a grievance mechanism established as a condition for securing a $600 million loan from the African Development Bank in 2019.

    The 30 farmers contend that despite COCOBOD’s regulatory oversight, these issues have plagued the cocoa sector for over a decade, adversely affecting the well-being of farmers and their communities.

    Phidelia Gameli, one of the farmers, stressed the need for COCOBOD to prioritize farmer welfare. “Improving the welfare of cocoa farmers should be at the forefront of COCOBOD’s responsibilities,” Gameli told Citi Business News.

    The complaint highlights environmental and social challenges in the cocoa industry, noting that deforestation, limited progress toward agroforestry, excessive use of toxic pesticides, and child labour remain widespread. It argues that these issues are exacerbated by opaque supply chains and low prices paid to farmers, calling for an overhaul to ensure fairer and safer practices.

    Additionally, the complaint points to a pressing issue of cocoa bean smuggling. Ghana reportedly lost 120,000 metric tons of cocoa beans to smuggling between 2022 and 2023, posing a substantial threat to the industry and national economy. This trend, linked to higher cocoa prices in neighboring countries, underscores a need for improved regulatory action.

    In 2018, COCOBOD launched an Environmental and Social Management System (ESMS), including a grievance and redress mechanism. The ESMS is intended to help COCOBOD identify and manage environmental, social, health, and safety risks across all its operations, including those involving contractors and associated entities. However, the farmers claim the system has yet to produce the needed results, prompting this collective action.

  • Fight against cocoa smuggling is a shared responsibility – COCOBOD

    Fight against cocoa smuggling is a shared responsibility – COCOBOD

    The Ashanti Regional Deputy Manager of COCOBOD, Emmanuel Adjei, has emphasized that the collective efforts of all key stakeholders are crucial in combating the smuggling of cocoa beans to neighboring countries.

    He expressed concern about the rising trend of cocoa smuggling, which, along with illegal mining, sand winning, and bush burning, is having a detrimental impact on cocoa production in Ghana.

    Addressing an anti-smuggling meeting at Nkawie, which brought together over 110 stakeholders from the Atwima enclave, Mr. Adjei highlighted the importance of collaboration across the cocoa value chain to effectively combat the activities of smugglers.

    This event was organized by the Municipal Directorate of the Cocoa Health and Extension Division (CHED) of COCOBOD and aimed to educate participants on strategies to combat cocoa smuggling in their respective areas.

    The meeting attracted a diverse group of attendees, including farmers, buyers, cooperative societies, security personnel, and other stakeholders from Atwima Nwabiagya North and South, Kwanwoma, and parts of Atwima Mponua, who engaged in discussions and shared their perspectives.

    Mr. Adjei pointed out that cocoa smuggling had significantly reduced Ghana’s production target from 750 metric tonnes to just 400 metric tonnes last year.

    He underscored the urgent need for the effective implementation of the Ghana Cocoa Traceability System (GCTS), an initiative supported by the European Union and being executed by CHED in collaboration with the Ghana Armed Forces and other security agencies.

    He cautioned farmers against falling prey to unlicensed buyers offering to purchase cocoa beans at prices above the government-approved rate. He explained that if a buyer proposes a price of 3,200 cedis for a headload instead of the sanctioned 3,000 cedis, it is indicative of smuggling and should be reported to authorities to prevent farmers from facing legal consequences for conspiracy or abetting the crime.

    “If a Buyer proposes 3,200 for a headload instead of the approved 3,000 cedis, it showed smuggling and must be reported for legal action before the farmer is held for conspiracy or abetment of crime”, he told the participants.

    The Cocoa Officer for the Atwima enclave, Nii Koi Kotey, called on stakeholders and community members to unite in the fight against cocoa smuggling, emphasizing the role of patriotic and responsible citizens who benefit from cocoa revenue in this critical effort.

  • 74,813 rehabilitated farms boost cocoa yields to 1,408 kg/ha in 2024 – COCOBOD CEO

    74,813 rehabilitated farms boost cocoa yields to 1,408 kg/ha in 2024 – COCOBOD CEO

    The Chief Executive Officer of the Ghana Cocoa Board (COCOBOD), Mr. Joseph Boahen Aidoo, has announced an improvement in cocoa yields, attributing the success to the rehabilitation of 74,813 farms, covering 67,385 hectares.

    This initiative has led to an increase in cocoa productivity from 450 kg per hectare in 2016 to 1,408 kg per hectare in 2024. Speaking at a press briefing to highlight the achievements of the cocoa sector since 2017, Mr. Aidoo outlined the extensive measures implemented to boost yields and support farmers.

    He noted that COCOBOD had registered 792,954 cocoa farmers, alongside mapping 1.24 million hectares of cocoa farms. This effort has allowed for better resource allocation and streamlined payment processes, ensuring that farmers receive timely and transparent payments for their produce.

    To address ongoing challenges in cocoa production, COCOBOD has intensified the Cocoa Rehabilitation Programme, which involves replanting diseased and unproductive farms. So far, 44,480 farms covering 40,150.40 hectares have been successfully rehabilitated and are ready to be handed over to their owners. These rehabilitated farms are expected to significantly contribute to the revival of Ghana’s cocoa sector in the coming years.

    In addition to rehabilitation efforts, COCOBOD has distributed millions of cocoa seedlings and introduced mechanization initiatives such as motorized pruners, which have helped to enhance farm efficiency and improve tree health.

    In August this year, Mr. Aidoo acknowledged that COCOBOD had to revise its cocoa production forecast for the 2023/2024 season, reducing it from 810,000 metric tonnes to 650,000 metric tonnes. He attributed this shortfall to unfavourable weather conditions in the southwestern part of the country, which impacted production negatively.

    Meanwhile, the COCOBOD has highlighted the introduction of the Living Income Differential (LID) in 2019, a government initiative aimed at improving the earnings of cocoa farmers. The LID requires buyers to pay an additional US$400 per ton of cocoa on top of the floor price.

    This measure has generated over USD 1.2 billion in additional income for farmers, significantly enhancing their financial stability.

  • Cocoa smuggling surges due to global market volatility – COCOBOD CEO

    Cocoa smuggling surges due to global market volatility – COCOBOD CEO

    The Chief Executive Officer of the Ghana Cocoa Board (COCOBOD), Joseph Boahene Aidoo, has attributed the trend of cocoa bean smuggling in the country to the volatility of the international market trading system.

    This statement follows COCOBOD’s recent announcement that Ghana lost 120,000 metric tons of cocoa beans to smuggling between 2022 and 2023.
    At a press conference in Accra on Monday, October 14, Mr. Aidoo expressed his concerns about the detrimental effects of smuggling on Ghana’s cocoa industry.

    He noted that, despite the joint efforts of COCOBOD and various governmental agencies, little progress has been made in addressing this illegal trade.
    Cocoa bean smuggling, a long-standing issue in Ghana, has intensified in recent years, largely due to the attractive prices available in neighboring countries.

    Mr. Aidoo elaborated that fluctuations and instability in the international cocoa market including rapid changes in prices, demand, and supply are driving this illicit activity.

    He explained that unstable market conditions incentivize individuals and groups to engage in illegal practices, such as smuggling cocoa to take advantage of more favorable prices abroad.

    The situation has been exacerbated by poor harvests in both Ghana and Ivory Coast, the world’s top two cocoa producers, resulting in a four-year supply deficit.

    Consequently, global cocoa and chocolate prices have surged this year.
    In contrast to Ghana, cocoa prices are higher in Ivory Coast and Togo, primarily due to a more stable CFA franc currency and a less regulated market.

    By the end of June this year, Ghana had only produced 429,323 metric tons of cocoa since the season began in September, representing less than 55% of the average output for the same period in previous years.

    This decline suggests that production for 2023/24 is set for its most significant drop in over two decades.
    To date, more than ten individuals have been sentenced to prison for smuggling this year, with sentences ranging from three months to ten years.

  • 120,000 metric tons of cocoa smuggled out of Ghana in the last 2 years – COCOBOD

    120,000 metric tons of cocoa smuggled out of Ghana in the last 2 years – COCOBOD

    Ghana’s cocoa industry is facing a severe challenge, with over 120,000 metric tons of cocoa beans smuggled out of the country between 2022 and 2023, according to Joseph Boahene Aidoo, CEO of the Ghana Cocoa Board (COCOBOD).

    The alarming figure highlights the growing issue of cross-border smuggling, which threatens both the livelihoods of cocoa farmers and the nation’s economy.

    Speaking at a press briefing in Accra on Monday, October 14, Mr. Aidoo disclosed that the increasing trend of smuggling is driven by higher cocoa prices in neighboring countries, making it more lucrative for smugglers to divert Ghanaian cocoa beans for better profits.

    “The current international market pricing system is creating an imbalance. Smugglers are exploiting this by moving cocoa out of Ghana to countries where the price is more attractive,” Mr. Aidoo explained. “Between last year and this year, Ghana has lost between 100,000 and 120,000 metric tons of cocoa through illegal channels.”

    He warned that the situation is undermining efforts to boost Ghana’s cocoa production and export earnings. Despite interventions by COCOBOD and government agencies, the fight against smuggling has been less effective than anticipated. The CEO emphasized that the illegal trade not only reduces Ghana’s cocoa export figures but also deprives farmers of their hard-earned income.

    “This illicit activity is detrimental to the nation. Cocoa farmers are losing out, and the country is missing valuable revenue that could support critical sectors of the economy,” Aidoo said. He pointed out that the 2022-2023 cocoa season has been particularly affected by the smuggling activities.

    The CEO called for urgent regional cooperation between Ghana and its neighboring countries to close the gaps that smugglers are exploiting. He also stressed the need for enhanced border security and the deployment of advanced monitoring systems to track the movement of cocoa across borders.

    While COCOBOD is working to address the issue, Mr. Aidoo admitted that without a coordinated response across the region, Ghana’s cocoa industry could continue to suffer significant losses. “Stronger partnerships and stricter controls at the borders are crucial if we are to stop this damaging trend,” he concluded.

  • 160K tons of cocoa lost in 2023/24 cocoa season due to smuggling – COCOBOD

    160K tons of cocoa lost in 2023/24 cocoa season due to smuggling – COCOBOD

    More than a third of Ghana’s 2023/24 cocoa production has been lost to smuggling, revealed a senior official from Cocobod during an interview with Reuters. Payment delays and lower local prices have driven some farmers to sell to increasingly advanced trafficking networks.

    With poor harvests in both Ghana and Ivory Coast—leading cocoa producers globally—the market is now facing a four-year supply shortfall, causing cocoa and chocolate prices to surge this year.

    Ivory Coast and Togo offer higher prices for cocoa due to a stable CFA franc and fewer regulations compared to Ghana.

    By June’s end, Ghana’s cocoa production had reached only 429,323 metric tons, amounting to less than 55% of the usual output at this stage, signaling the largest drop in over two decades.

    Charles Amenyaglo, head of special services at Cocobod and leader of the anti-smuggling task force, stated that smuggling-related losses surged more than threefold in the 2023/24 season.

    “Conservatively, I will say we lost 160,000 tons,” he said, adding that the task force also intercepted about 250 tons, up from 17 tons in 2022/23.

    “The data is alarming,” said Abubakar Omae, general secretary of Ghana’s cocoa and coffee farmers association.

    While more than 10 people have been sentenced to between three months and 10 years in prison for smuggling this year, Amenyaglo said Ghana’s military will soon be deployed to tackle smugglers.

    Smuggling rings, which offer farmers higher prices, began to take hold in 2022, when Ghana was at the height of an economic and currency crisis.

    Amenyaglo said significant quantities of cocoa were crossing into Togo, Burkina Faso and even Mali.

    “We’ve seen cocoa in tipper trucks covered by quarry chippings and in drums disguised as palm oil,” he said. “We’ve seen pontoon boats carting cocoa…but the shocker is when we saw a fuel tanker loaded with cocoa. The ‘Don’t tamper’ seal was still on.”

    Cocobod has failed to pay for beans on time during the season due to problems with the syndicated loan it uses to finance purchases.

    “This comes back to (the) money issue … If we’re liquid and actively on the field, smuggling can be curtailed,” said Samuel Adimado, president of the Ghanaian cocoa buyers’ group.

    Ghana began the 2024/25 season ahead of schedule, introducing a new funding model and raising the farmgate price by 45%.

    Farmers are optimistic that these changes will reduce smuggling, but they worry that a depreciating currency might diminish the benefits of the price increase.

    “We’ve invested a lot to raise cocoa production in Ghana, not for cocoa sectors in Togo or Ivory Coast to blossom,” Amenyaglo said.

  • COCOBOD financially stable to buy cocoa beans – Minister

    COCOBOD financially stable to buy cocoa beans – Minister

    Minister for Food and Agriculture, Bryan Acheampong, has dismissed claims that the Ghana Cocoa Board (COCOBOD) lacks the financial capacity to buy cocoa beans from farmers.

    He firmly rejected the notion, stating that it is a misconception.

    Speaking at a press conference, the minister emphasized that COCOBOD remains financially capable of making cocoa purchases.

    His remarks came as he announced the new producer price for cocoa for the 2024/2025 season.

    The price has been raised from GH¢20,928 per tonne at the start of the 2023/2024 season to GH¢48,000 per tonne, or from GH¢1,308 per 64kg bag to GH¢3,000 per 64kg bag.

    The minister in his submission said “I am not too sure why you will say COCOBOD has no money. It is a wrong impression. It should never be put out there. COCOBOD is well positioned to buy cocoa beans from farmers and trade same.”

    “Nowhere has the government reported or COCOBOD mentioned that it has no money to buy cocoa.”

  • COCOBOD revamps effort to combat cocoa smuggling – Joseph Boahen Aidoo

    COCOBOD revamps effort to combat cocoa smuggling – Joseph Boahen Aidoo

    The Ghana Cocoa Board (COCOBOD) has expressed its commitment to ramping up efforts to tackle cocoa smuggling across the nation’s borders, with the assistance of the military.

    The Board acknowledged being greatly concerned by the rising incidents of cocoa smuggling within the country.

    COCOBOD’s Chief Executive, Joseph Boahen Aidoo, shared this information with journalists following a meeting with cocoa farmers from various cultivation areas at the GNAT Hall in Kumasi last Friday.

    “We have written to the Minis­ter of Defense, requesting military intervention, while the police and other security forces have been assisting,” he stress.

    Aidoo noted that there had been several arrests related to cocoa smuggling and “recently cocoa being transported out of the country in tankers for fuel was intercepted.”

    He mentioned that the military involvement was now necessary to address the issue more effectively and indicated that, “the military has expressed readiness to lead the operation and the Defense Ministry is fully aware” adding that COCOBOD would sponsor the national anti-cocoa smuggling campaign.

    The stakeholder consultative dialogue aimed at fostering Ghana’s cocoa sector which had in recent years been fraught with financial and environmental challenges.

    Additionally, he noted that the intensified exercise was crucial for safeguarding the country’s cocoa export industry, and to also ensure that it meets its international export targets.

    He expressed confidence that the military’s intervention would help curb the problem, and assured of the government’s commitment to protecting the cocoa sector and would do everything to prevent its collapse.

    Aidoo used the occasion to allay the fears of cocoa farmers and Ghanaians about the looming Eu­ropean Union (EU) regulation on deforestation that takes effect from December 30, 2024.

    Moreover, he said the defor­estation regulation that came into force on June 29, 2023, required companies trading in cattle, co­coa, coffee, oil palm, rubber, soya and wood, as well as products derived from these commodities, to conduct extensive diligence on the value chain.

    This, he said, was to ensure the goods did not result from recent (post 31 December 2020) deforestation, forest degradation or breaches of local environmen­tal and social laws.

    He said companies should consider the impact of the defor­estation regulation on their supply chain due diligence to prepare for the new obligations.

    Aidoo mentioned that Ghana was really prepared because, “it is the only cocoa growing country in Africa with a traceability system to track prod­ucts from the forests in order to curb the EU market’s impact on global deforestation and forest degradation.”

  • COCOBOD reduces 2024/25 cocoa season output by 19.8% to 650,000 metric tonnes

    COCOBOD reduces 2024/25 cocoa season output by 19.8% to 650,000 metric tonnes

    The Ghana Cocoa Board (COCOBOD) has announced a reduction in its cocoa production target for the upcoming 2024/2025 season.

    The new season, set to begin on September 10, 2024, will open with a revised self-financing plan aimed at sustaining the sector amid challenging weather conditions.

    COCOBOD’s Chief Executive, Joseph Boahen Aidoo, disclosed that the initial production target of 810,000 metric tonnes has been reviewed downward by 19.8% to 650,000 metric tonnes. This significant reduction is attributed to the unprecedented dry spell that has affected cocoa-growing regions in Ghana, particularly the Bono and Western North areas.

    Speaking on the difficulties faced by farmers, Mr. Aidoo noted, “This is occasioned by what is happening in West Africa. There is a dry spell. Very unusual. It’s cloudy but it’s not raining.” The harsh weather conditions have made it difficult for farmers to maintain a successful planting season, contributing to the lower-than-expected output.

    In response to the challenges, COCOBOD has outlined measures to boost production over the next six years. Mr. Aidoo revealed that the organization is working towards producing an additional 200,000 metric tonnes of cocoa beans by replacing old, unproductive trees and supporting farmers with essential resources such as fertilizers and extension officers.

    “We have put in place an elaborate measure to support the farmers with fertilizers and extension officers. For the first time in many years, COCOBOD has helped the farmers with pruning,” he said.

    The Chief Executive expressed optimism about the long-term benefits of these interventions, highlighting the importance of cocoa as a key economic asset. “Cocoa trees are economic trees that bring in foreign earnings. It is the reason why COCOBOD has made it a point to always support farmers to keep the plants alive and flowery,” he added.

    Meanwhile, Ghana’s Finance Minister, Dr. Mohammed Amin Adam, has indicated that the government will seek external funding to further support the cocoa sector, reinforcing the significance of cocoa to the nation’s economy.

  • COCOBOD faces loan repayment crisis as cocoa smuggling soars

    COCOBOD faces loan repayment crisis as cocoa smuggling soars

    COCOBOD is facing the risk of defaulting on loans taken to support cocoa farming as smuggling activities continue to rise, according to Joseph Boahen Aidoo, CEO of Ghana COCOBOD.

    Addressing the media in Kumasi, Mr. Aidoo raised concerns about the impact of increasing cocoa smuggling on the repayment of loans that fund various interventions for farmers.

     These loans have been used to purchase essential inputs like fertilisers, pesticides, and cocoa seedlings.

    “This year, we supplied more than enough fertilisers, such as liquid fertiliser, insecticides, and fungicides. Cocobod also funded the pruning of cocoa farms,” he explained.

    However, with cocoa being smuggled out of the country, he questioned how COCOBOD would manage to repay these loans.

    Mr. Aidoo revealed that smugglers are employing new methods, including using fuel tankers to transport cocoa out of Ghana. 

    “Given the severity of the issue, military involvement is now deemed crucial,” he added, explaining that COCOBOD has requested the assistance of the Ministry of Defence to tackle the problem.

    The CEO emphasised that cocoa is vital to Ghana’s economy, providing the foreign exchange necessary to support the nation’s balance of payments. 

    “We cannot afford to lose our cocoa exports, especially since we heavily support local farmers,” he stressed.

    The Anti-Cocoa Smuggling Program, funded by COCOBOD, will be led by the armed forces to clamp down on illegal activities. 

    Mr. Aidoo expressed optimism that these efforts, along with other initiatives to boost cocoa production, will yield positive results in the coming year, benefiting both the industry and farmers.

  • Russian gov’t purchases smuggled cocoa from Ghana – COCOBOD CEO

    Russian gov’t purchases smuggled cocoa from Ghana – COCOBOD CEO

    Ghana’s COCOBOD is stepping up efforts to address the growing problem of cocoa smuggling across the nation’s borders, with military assistance from the Ghana Armed Forces.

    COCOBOD’s Chief Executive, Joseph Boahen Aidoo, revealed that the organization has formally requested help from the Ministry of Defense as the situation becomes increasingly difficult to manage, despite the police’s efforts.

    Speaking in Kumasi, Aidoo explained that smugglers have been getting more sophisticated, citing an incident where cocoa was discovered hidden in fuel tankers attempting to leave the country.

    “We have written to the Minister of Defense, requesting military intervention. While the police and other security forces have been assisting, there have already been several arrests related to cocoa smuggling. Recently, cocoa being transported out of the country in tankers meant for fuel was intercepted,” he said.

    Given the severity of the issue, military involvement is now deemed crucial.

    “Cocoa is the backbone of Ghana’s economy. It brings in the foreign exchange needed to support our balance of payments. We cannot afford to lose our cocoa exports, especially since we heavily support local farmers,” Aidoo emphasized.

    The national Anti-Cocoa Smuggling Program will be spearheaded by the armed forces, with COCOBOD funding the initiative.

    Aidoo emphasized the importance of protecting Ghana’s cocoa industry, which is vital to the country’s economy.

    “This year, we supplied more than enough fertilizers, such as liquid fertilizer, insecticides, and fungicides. Cocobod also funded the pruning of cocoa farms. If cocoa is smuggled out of the country, how are we going to repay the loans we took to invest in our farmers?” he questioned.

    The loss of cocoa to smuggling not only threatens the nation’s foreign exchange but also compromises the investments COCOBOD has made in supporting local farmers with inputs like fertilizers and pesticides.

    He also questioned how the country could repay the loans it had taken to provide these resources if cocoa continues to be smuggled out.

    He explained that the Russian military group Wagner, stationed in Burkina Faso, Niger, and other Francophone countries, is involved in buying smuggled cocoa from Ghana and Côte d’Ivoire.

    With Russia banned from European markets, smuggled cocoa has found its way into new channels, heightening the urgency for tighter border controls.

    “Russia has been banned from entering the European market, which has led them to resort to smuggling cocoa. Countries like Burkina Faso and Niger, which do not grow cocoa, are now exporting cocoa. Where are they getting it from?” he asked.

    Confident that military intervention will make a difference, Aidoo reassured that the government is fully committed to safeguarding the cocoa sector.

    He also expressed optimism that the ongoing efforts to improve cocoa production will begin to show significant results in the coming year, benefiting both the industry and Ghana’s farmers.

  • COCOBOD’s self-sufficiency false, international aid needed for 2024-25 cocoa season production – Bright Simons

    COCOBOD’s self-sufficiency false, international aid needed for 2024-25 cocoa season production – Bright Simons

    The Ghana Cocoa Board’s (COCOBOD) report on financial self-sufficiency has come under scrutiny as experts argue that the state-owned cocoa giant will still require international banking support to fulfil its commitments.

    According to policy analyst and Honorary Vice President of IMANI Africa, Bright Simons, COCOBOD’s much-publicized decision to move away from 32 years of reliance on syndicated loans from international banks is proving impractical, with the board admitting it will still need to engage in some form of external syndication to meet delivery obligations.

    In a post on X, Mr Simons pointed out that COCOBOD’s attempt to position itself as self-sufficient by opting for domestic funding alone is not sustainable.

    “Ghana’s state-owned cocoa behemoth (and sole approver of cocoa trading and exporting licenses), Cocobod, finally backs down & acknowledges that it will still need to do a syndication deal of some sort with some international banks to fulfill delivery commitments that it has so far struggled to do,” Mr Simons stated.

    COCOBOD’s Chief Executive Officer, Joseph Boahen Aidoo, has noted that the board would no longer seek offshore loans to finance the upcoming cocoa season, describing the decision to self-finance as a bold step towards financial independence, aiming to save $150 million in interest payments and other costs associated with syndicated loans.

    “For the first time in COCOBOD’s history, we want to wean ourselves from the offshore syndication,” Aidoo said. He emphasized the need for the board to take control of its finances after 32 years of borrowing from a consortium of international banks.

    The move to rely on local banks for cocoa production funding has been presented as a cost-saving measure, but Simons suggests this is a reactive step after COCOBOD failed to close a deal with international banks before the cocoa harvest season, expected to open soon.

    This situation is compounded by concerns about the stability of Ghana’s currency, the cedi. Leeuwner Esterhuysen, an economist at Oxford Economics Africa, highlighted the pressure on foreign exchange reserves due to the need for COCOBOD to convert local currency raised from domestic financiers into foreign exchange to import fertilizers and other inputs for cocoa production.

    “This means that there will be an initial outflow of forex to purchase inputs and an eventual inflow of forex when the cocoa is sold,” he explained. However, this approach leaves the cedi vulnerable to further weakening, which could disrupt efforts to stabilize the currency.

    While the pivot to local banks has been touted as a strategic move, experts like Bright Simons maintain that international transactions remain crucial for the board to meet its operational demands. This suggests that COCOBOD’s reliance on foreign financing may not be entirely over, despite the board’s ambitions.

  • Ban import, increase production and focus on exporting it – Nana Yaa Jantuah 

    Ban import, increase production and focus on exporting it – Nana Yaa Jantuah 

    Former General Secretary of the Convention People’s Party (CPP), Nana Yaa Jantuah is advocating for a strategy to boost Ghana’s cocoa industry.

    She suggests that the country should focus on increasing local cocoa production and exports, while implementing a ban on cocoa imports to enhance the industry.

    “We haven’t been able to promote our cocoa effectively as a country. In my opinion, considering that we have cocoa, we should ban the import of cocoa. We need to increase our cocoa production and focus on exporting it. The government should invest more in our local industries.”

    Nana Yaa Jantuah’s remarks follow allegations from the Minority in Parliament that the Ghana Cocoa Board (COCOBOD) was rejected by international banks when attempting to secure a $1.5 billion loan for the 2024/2025 cocoa season.

    COCOBOD has denied these allegations, asserting that several banks have shown interest in the loan.

    In an appearance on Adom FM’s morning show, Dwaso Nsem, on Friday, Nana Yaa Jantuah argued that while borrowing from international banks is not inherently problematic, COCOBOD needs to prove its financial stability.

    “There is nothing wrong with borrowing from international banks, but if they claim it’s untrue, then they should demonstrate their financial capacity for making the decision not to borrow, which would sustain the industry. If not, it’s like saying you won’t need financial aid when your own country is at the IMF.”

  • International banks haven’t rejected us – COCOBOD

    International banks haven’t rejected us – COCOBOD

    The Ghana Cocoa Board (COCOBOD) has firmly denied allegations that it was rejected by international banks in its bid to secure a $1.5 billion loan for the upcoming 2024/2025 cocoa crop season.

    The denial comes amid claims from the Minority in Parliament, who have raised concerns about COCOBOD’s financial health, asserting that international lenders had declined the board’s loan request, casting doubt on the organization’s management.

    In response to these assertions, COCOBOD issued a statement on Friday, August 22, categorically rejecting the claims made by the Minority.

    According to the board, the allegations of loan rejection are baseless and misrepresent the facts. COCOBOD clarified that international banks had, in fact, responded positively to their earlier Request for Proposals (RFP), submitting term sheets for the loan in question.

    “The assertion by the Minority Caucus that the international banks have rejected the Ghana Cocoa Board’s request and that COCOBOD was ‘chased away’ from the market is false,” the statement read.

    It emphasized that COCOBOD continues to engage with financial institutions, noting that “nothing in this process indicates a lack of confidence in COCOBOD’s creditworthiness from these financial institutions.”

    The Minority’s concerns stemmed from what they perceive as diminishing confidence in COCOBOD’s management and financial mismanagement in recent years. They argued that the alleged refusal of the loan request was a troubling sign of the organization’s declining reputation on the international stage.

    In their view, COCOBOD’s decision to seek domestic funding instead of relying on external syndicated loans was a ‘face-saving’ maneuver to hide deeper financial troubles.

    COCOBOD, however, strongly refuted these claims, calling them “falsehoods, inaccuracies, and misrepresentations.” The board explained that while it is indeed shifting towards self-financing as part of a long-term strategy, this decision does not reflect financial instability but rather a move toward reducing dependency on high-interest syndicated loans. COCOBOD described the Minority’s narrative as “categorically untrue.”

    The organization also pointed out that, despite its intentions to wean itself off syndicated borrowing, it still has existing contracts that require fulfillment through this process. COCOBOD is, therefore, continuing to engage with international banks to honor these commitments.

    Ultimately, COCOBOD reassured the public that it remains financially sound and that its decision to transition toward domestic funding is part of a broader strategy aimed at long-term stability for Ghana’s cocoa sector. The board reiterated its commitment to fulfilling its financial obligations and maintaining confidence among its international partners.

  • Paying 2023 syndicated loan was a struggle for COCOBOD – Wa East MP

    Paying 2023 syndicated loan was a struggle for COCOBOD – Wa East MP

    Deputy Ranking Member on Parliament’s Food and Agriculture Committee, Dr. Seidu Jasaw, has raised alarm over COCOBOD‘s financial health, revealing that the organization faced significant challenges in repaying its 2023 syndicated loan.

    Speaking on the matter, the Wa East MP warned that these financial difficulties are a reflection of deeper systemic issues within the institution, potentially endangering the future of Ghana’s cocoa industry.

    Dr. Jasaw attributed COCOBOD’s repayment struggles to mismanagement and inefficient resource allocation under the current administration.

    He expressed concern that the organization’s financial instability could worsen if these issues were not addressed promptly.

    His comments came in response to a recent announcement by COCOBOD’s CEO, Joseph Boahen Aidoo, who stated that for the first time in over three decades, COCOBOD would not seek offshore syndicated loans to finance the purchase of cocoa beans for the 2024/2025 crop season. Aidoo claimed that the organization would self-finance its operations, aiming to procure around 650,000 metric tonnes of cocoa.

    However, Dr. Jasaw questioned the CEO’s narrative, suggesting that the real reason COCOBOD is not pursuing external loans is that the international market has lost confidence in the organization due to its recent struggles with loan repayments.

    “The syndicated banks refused them the loan because COCOBOD’s financial position is not good at all,” Dr. Jasaw said. “They also have concerns about production. COCOBOD struggled in paying back last year’s syndicated loan, and the Ministry of Finance had to step in with about $70 million in July to assist with the repayment.”

    He emphasized that COCOBOD’s financial strains are more serious than the leadership is willing to admit, accusing the organization of masking its financial troubles as a deliberate policy shift to reduce reliance on international loans.

    “This is a dire situation. I expected COCOBOD to be forthcoming with the information so that Ghanaians could scrutinize it. But when you try to spin it as a deliberate policy shift when it is really about your inability to solve a crisis, I think that is disingenuous, and Ghanaians shouldn’t be taken for granted,” Dr. Jasaw said.

    His warning serves as a call for greater transparency within COCOBOD and immediate reforms to address the underlying financial mismanagement threatening one of Ghana’s most critical industries.

  • COCOBOD to self-finance 2024/2025 cocoa season; ends 32-year loan cycle

    COCOBOD to self-finance 2024/2025 cocoa season; ends 32-year loan cycle

    The Ghana Cocoa Board (COCOBOD) has announced its decision to self-finance the upcoming 2024/2025 cocoa season, ending its reliance on an annual syndicated loan from foreign banks for the first time in 32 years.

    Speaking at a press conference in Accra, COCOBOD’s Chief Executive Officer, Joseph Boahen Aidoo, explained the rationale behind the bold decision.

    “For the first time in COCOBOD’s history, we want to wean ourselves from the offshore syndication. Since 1992, COCOBOD has always relied on external borrowing from a consortium of banks, but after 32 years, it is time we learned our lessons and took control of our finances,” Mr. Aidoo said.

    The decision so self-finance, he revealed, had been under consideration since last year, and with recent developments, COCOBOD determined that the time was ripe to move away from the syndicated loan model.

    “We were assessing the whole situation, and we concluded that we have to take a bold measure,” Mr. Aidoo stated.

    This ends the longstanding practice of securing offshore loans to purchase cocoa beans for export.

    Mr. Aidoo noted that by not accessing the offshore loan this year, the board could save around $150 million in interest payments and other costs associated with receiving a loan facility.

    While COCOBOD’s move to self-finance is expected to bring significant savings, it also raises concerns about Ghana’s foreign exchange reserves and the stability of the cedi.

    The syndicated loan which usually ranges from $1.2 billion to $1.8 billion has traditionally been a major source of foreign currency inflows for the country, and its absence could exert pressure on the Cedi’s exchange rate.

    Amid this concern, COCOBOD has revised its production target for the upcoming season, lowering it from 810,000 tonnes to 650,000 tonnes. This adjustment is due to adverse weather conditions in key cocoa-growing regions, particularly in Brong Ahafo and Western North, where unusual dryness has affected cocoa trees.

    Despite the challenges, Mr Aidoo reassured Ghanaians that the cocoa sector remains sustainable. He dismissed concerns that the industry could collapse within five years, stating that COCOBOD is implementing various initiatives to address issues like climate change, pests, diseases, and illegal mining.

  • COCOBOD not producing enough cocoa to meet contractual obligations – Ato Forson

    COCOBOD not producing enough cocoa to meet contractual obligations – Ato Forson

    The Minority Leader in Parliament, Dr. Cassiel Ato Forson, has voiced serious concerns over COCOBOD‘s inability to meet its international cocoa supply commitments, a situation he attributes to mismanagement by the organization’s current leadership.

    In a tweet on Thursday, August 22, Dr. Forson warned that COCOBOD’s failure to produce sufficient cocoa for its contractual obligations could have severe repercussions for Ghana’s standing in the global cocoa industry.

    Dr. Forson highlighted that COCOBOD is now struggling to access the international market due to its inability to produce the necessary quantity and quality of cocoa.

    He explained that this shortfall could result in penalties, diminished trust from international partners, and a loss of Ghana’s reputation as a leading cocoa exporter.

    “This is a sharp decline from the achievements seen under previous administrations,” Dr. Forson stated, suggesting that poor decision-making by COCOBOD’s current management is undermining the organization’s capacity to deliver.

    The Minority Leader further called on the government to intervene promptly to address the crisis at COCOBOD before it causes lasting damage to Ghana’s cocoa industry.

    He urged for transparent and efficient leadership to restore the organization’s ability to meet its obligations and maintain its crucial role in the country’s economy.

    Without decisive action, Dr. Forson warned, the long-term consequences could be dire, not only for the cocoa sector but for the entire nation.

  • COCOBOD denied offshore loan request due to declined confidence in management – Minority

    COCOBOD denied offshore loan request due to declined confidence in management – Minority

    The Minority in Parliament have expressed worry over COCOBOD’s inability to secure funds offshore to purchase cocoa for the 2024/2025 crop season.

    According to the Minority, this development is a significant indicator of the declining confidence that global financial institutions have in COCOBOD under its current management.

    raised concerns over COCOBOD’s financial health, claiming that international banks have rejected the organisation’s request for a loan to purchase cocoa for the 2024/2025 crop season.

    However, the NDC MPs in a statement, emphasized that this situation could have serious repercussions for the cocoa sector, which is a crucial part of Ghana’s economy.

    They warned that without the necessary funding, COCOBOD might struggle to meet its cocoa purchasing targets for the upcoming season, potentially leading to a negative impact on cocoa farmers and the broader economy.

    “For the first time in 32 years, International Banks have rejected Ghana Cocoa Board’s (COCOBOD) request for a prepayment loan to finance the purchase of cocoa.”

    “In June 2024, COCOBOD issued a Request for Proposal of $1.5 billion loan to purchase up to 650,000 metric tonnes of cocoa for the 2024/2025 crop year. But this request did not attract any interest from the international banks due to the poor health of COCOBOD and the collapse of the cocoa sector under its present management.”

    “From a production level of 969,000 metric tonnes inherited from the NDC in the 2016/2017 crop year, cocoa production has declined to just a little over 400,000 metric tonnes for the 2023/2024 cocoa season. The significant decline in cocoa production in the last eight years and the mismanagement of the cocoa sector have impacted COCOBOD’s ability to meet its contractual obligations,” an excerpt of the statement said.

    The Minority called on the government to address the underlying issues that have led to this loss of confidence in COCOBOD, urging for a review of the current management practices and for measures to be put in place to restore the organisation’s credibility with international financial institutions, ensuring that the cocoa sector remains strong and stable.

    The Minority also believes that the refusal of the loan request highlights the mismanagement and poor financial decisions that have plagued COCOBOD in recent years.

    They noted that, COCOBOD has traditionally relied on offshore syndicated loans to finance the purchase of cocoa beans, but the rejection by international banks this time around points to a loss of trust in the organisation’s ability to manage its finances effectively.

  • COCOBOD can’t borrow from foreign banks due to its financial instability – Minority

    COCOBOD can’t borrow from foreign banks due to its financial instability – Minority

    Minority Leader Cassiel Ato Forson has labeled the Ghana Cocoa Board’s (COCOBOD) decision to refrain from borrowing from foreign banks as a strategic maneuver to cover up its dwindling creditworthiness.

    In a statement released on August 21, Forson described the move as a tactic to obscure COCOBOD’s current financial instability.

    “The announcement by COCOBOD that it has taken a bold decision not to borrow from foreign banks to finance cocoa purchases after 32 years is false, unmeritorious, contrived and face-saving,” portions of the statement said.

    Joseph Boahen Aidoo, CEO of COCOBOD, has announced that for the first time in 30 years, the board will not seek offshore syndicated loans to fund the purchase of cocoa beans for the 2024/2025 season.

    COCOBOD plans to finance the procurement of about 650,000 metric tonnes of cocoa beans entirely through its own resources.

    The board emphasized that this approach is part of a broader strategy to reduce reliance on high-interest loans from international lenders.

    However, Dr. Ato Forson has criticized this decision, asserting that COCOBOD’s absence from the foreign loan market is due to its diminished creditworthiness and inability to fulfill its cocoa supply commitments.

    “Clearly, the banks came to the conclusion that out of the projected production of 650,000 metric tonnes of cocoa for the 2024/2025 crop year, which is doubtful, 250,000 metric tonnes will be used to service existing rolled-over contracts, leaving only 400,000 metric tonnes to honour COCOBOD’s obligations for the 2024/2025 crop year. This raised the ability to pay questions for the banks, hence their refusal to participate,” he added.

    Dr. Ato Forson has condemned the decision to abandon a 32-year tradition of offshore syndicated loans for COCOBOD, accusing the Akufo-Addo/Bawumia administration of undermining Ghana’s economic stability.

    He argued that this longstanding practice has been crucial in providing reliable foreign exchange for the Ghana Cedi, and its removal reflects poorly on the current government’s management.

    Forson highlighted the administration’s financial mismanagement, citing significant losses over the past seven years: GHS 395 million in 2017, GHS 78.2 million in 2018, GHS 320.6 million in 2019, GHS 426 million in 2020, GHS 2.4 billion in 2021, GHS 3.2 billion in 2022, and GHS 4.2 billion in 2023.

    He warned that Ghana’s cocoa sector is in crisis and called for urgent reform, competent management, and a new strategic direction.

  • Shame on you for completely destroying COCOBOD – Edudzi to CEO

    Shame on you for completely destroying COCOBOD – Edudzi to CEO

    A leading member of the National Democratic Congress (NDC), Edudzi Tameklo, has described the Chief Executive of Ghana Cocoa Board (COCOBOD), Mr. Joseph Boahen Aidoo, a “very wicked man” who has “completely destroyed” the once-creditworthy state enterprise.

    According to Mr Tameklo, Mr Aidoo has run down COCOBOD to the point where international banks now view it as unattractive for business.

    Mr Tameklo’s remarks come in response to COCOBOD’s recent announcement at a media briefing on August 20, 2024.

    The announcement revealed that the organization is departing from its 32-year tradition of relying on offshore borrowing for cocoa purchases through its syndication program.

    Mr. Aidoo stated that, starting with the 2024/2025 cocoa crop season beginning in September 2024, COCOBOD will shift to self-financing in an effort to reduce its reliance on external funds.

    “Is it good that always, COCOBOD should be heard going to borrow? Are we comfortable with that tag?” he asked rhetorically before announcing: “Today, you have heard that COCOBOD is not going to borrow,” adding: “It is quite a good time for any human being to learn his or her lessons.” 

    “In 32 years, we have learned our lessons, and we think that it is high time we wean ourselves from the offshore international financial markets and then finance the crop ourselves here. And that is exactly what we are going to do. And I think it comes with a lot of projectory benefits,” Mr Aidoo noted.

    He mentioned: “We are looking for $1.5 billion this crop season, and looking at the interest rates last year, which were over 8 per cent, plus the cost, it means that we can save more than $150 million by the decision not to go offshore.”

    Mr. Tameklo who doubles as the Director of Legal Affairs for the National Democratic Congress, took to Facebook to criticize Mr. Aidoo’s announcement.

    Mr Tameklo argued that rather than acknowledging his role in COCOBOD’s financial difficulties and poor production figures, Aidoo is attempting to capitalize on the “mess” he created for personal gain.

    “Cocoa production has fallen to 500,000 metric tonnes. Instead of admitting that you are responsible for this mess, you are here creating [a] useless impression,” wrote Mr Tameklo, who insisted: “This man should be arrested.”

    According to Mr Tameklo, “All he [the COCOBOD CEO] is interested in is the award of sole-sourced contracts to Bawumia’s brother and others,” exclaiming: “Shame!”

  • COCOBOD’s crop loan request rejected by international banks – Minority

    COCOBOD’s crop loan request rejected by international banks – Minority

    The Minority in Parliament has expressed serious concerns regarding COCOBOD’s financial stability, following reports that international banks have declined to approve a loan requested by the organization for the 2024/2025 cocoa season.

    The opposition argued that the refusal to grant this loan is a troubling sign of diminishing confidence in COCOBOD’s management.

    They believe this situation underscores ongoing issues with financial mismanagement and poor decision-making that have plagued COCOBOD in recent years.

    Traditionally, COCOBOD has relied on offshore syndicated loans to fund the purchase of cocoa beans.

    The latest rejection by international banks suggests a significant erosion of trust in COCOBOD’s financial stewardship.

    In response, COCOBOD’s Chief Executive Officer, Joseph Boahen Aidoo, has announced that for the first time in three decades, the organization will not be able to secure offshore syndicated loans for cocoa procurement.

    Instead, COCOBOD plans to use its own resources to finance the purchase of approximately 650,000 metric tonnes of cocoa for the upcoming season.

    The Minority has raised alarms that this development could severely impact the cocoa industry, a vital sector for Ghana’s economy.

    They caution that without adequate funding, COCOBOD may struggle to meet its purchasing targets, potentially harming cocoa farmers and the broader economic landscape.

    The Minority has called for urgent government intervention to address the underlying issues contributing to this loss of confidence.

    They advocate for a review of COCOBOD’s management practices and the implementation of corrective measures to restore the organization’s credibility with international financial institutions, ensuring the stability and strength of the cocoa sector.

    The statement highlights that, for the first time in 32 years, COCOBOD’s request for a $1.5 billion prepayment loan to purchase cocoa did not attract any interest from international banks.

    This failure is attributed to COCOBOD’s deteriorating financial health and the overall decline of the cocoa sector under the current administration.

    The statement also points to a dramatic drop in cocoa production from 969,000 metric tonnes in the 2016/2017 crop year, inherited from the previous administration, to just over 400,000 metric tonnes for the 2023/2024 season.

    This significant reduction in production, combined with mismanagement, has affected COCOBOD’s ability to fulfill its contractual obligations.

    “For the first time in 32 years, International Banks have rejected Ghana Cocoa Board’s (COCOBOD) request for a prepayment loan to finance the purchase of cocoa.”

    “In June 2024, COCOBOD issued a Request for Proposal of $1.5 billion loan to purchase up to 650,000 metric tonnes of cocoa for the 2024/2025 crop year. But this request did not attract any interest from the international banks due to the poor health of COCOBOD and the collapse of the cocoa sector under its present management.

    “From a production level of 969,000 metric tonnes inherited from the NDC in the 2016/2017 crop year, cocoa production has declined to just a little over 400,000 metric tonnes for the 2023/2024 cocoa season. The significant decline in cocoa production in the last eight years and the mismanagement of the cocoa sector have impacted COCOBOD’s ability to meet its contractual obligations,” an excerpt of the statement said.

    Read statement below:

  • We will not seek financial aid from international banks for 2024/25 cocoa crop season – COCOBOD

    We will not seek financial aid from international banks for 2024/25 cocoa crop season – COCOBOD

    The Ghana COCOBOD has revealed that, for the first time in 30 years, it will not pursue an offshore syndicated loan to fund the purchase of cocoa beans for the 2024/2025 crop season.

    Aiming to procure around 650,000 metric tonnes of cocoa beans for the season, COCOBOD stated that it will fund the purchases through its internal operations.

    During a press briefing, Chief Executive Joseph Boahen Aidoo revealed that there is a comprehensive plan to reduce COCOBOD’s reliance on high-interest loans from offshore lenders.

    He stressed that it is not financially wise for COCOBOD to continue depending on loans from international banks when it has the ability to raise funds domestically at a lower cost to purchase the beans.

    “For the first time in the history of Ghana COCOBOD, we want to wean COCOBOD off from offshore syndication. We want to be self-financing. Since 1992 COCOBOD has been going offshore to borrow from a consortium of banks. It is a good time to learn our lessons”.

    Mr. Boahen Aidoo insisted that COCOBOD can self-finance its operations and purchases, providing all the proceeds it will accrue to the government of Ghana for other developmental projects.

    “In the previous year, COCOBOD has paid interest of more than US$150 million. That money could have been used for other things in the country”, he said.

    Defending the decision, he stressed that move has received all the support of major stakeholders in the sector to make the farmer the ultimate beneficiary in the value chain.

    “We have always being looking out for the interest of the farmer. The farmer is the most important person. Ghana and Ivory Coast pushed for the Living Income Differential of 400 dollars per tonne for the farmer”, he recalled.

    Meanwhile Mr. Boahen Aidoo announced that the 2024/2025 crop season will start from 1st September this year.

  • 6 cocoa road projects cancelled over lack of funds

    6 cocoa road projects cancelled over lack of funds

    Ghana Cocoa Board (COCOBOD) has announced the discontinuation of six cocoa road projects due to financial challenges.

    These initiatives were among 14 road projects started by COCOBOD between 2015 and 2016, covering seven regions and estimated to cost 370 million Ghana cedis.

    After nearly ten years, none of these roads have been finalized.

    In a presentation to the Public Accounts Committee, COCOBOD’s Chief Executive Officer, Joseph Boahen Aidoo, explained that the institution’s financial challenges have made it unfeasible to proceed with six of these initiatives.

    He added that a table provided to the committee outlines the official cessation of these six projects, while the remaining ones are being reorganized for completion.

    Mr Aidoo assured the committee that should resources become available in the future, the cancelled projects may be reconsidered. “But I give that assurance that one’s resources are available they would be definitely taken on board.”

    Regarding a separate matter involving an 8.3 million cedis rent debt noted by the Auditor-General, COCOBOD is facing difficulties in retrieving 6.8 million cedis owed by the Produce Buying Company (PBC). Ray Ankrah, COCOBOD’s Deputy CEO for Finance and Administration, offered an update on the issue.

    “The rent arrears for Jubilee House, amounting to 102,000 cedis, have been fully settled. Additionally, the outstanding rent for properties on Lake Road in Kumasi, totaling 263,307.06 cedis, has been recovered. The Sunyani Jubilee House rent of 74,771 cedis has also been collected. This accounts for approximately 67% of the total outstanding debt.

    “However, we are facing challenges with the PBC’s debt of 6,851,517.51 million cedis, which remains unpaid. Management has engaged with PBC to discuss and agree on a payment plan, and we are confident that as the new season begins, we will be able to recover these funds through their Credit to Revenue (C2R) arrangements,” Mr Ankrah explained.

  • EXPLAINER: Why COCOBOD has ditched plans to borrow from international banks after 32 years

    EXPLAINER: Why COCOBOD has ditched plans to borrow from international banks after 32 years

    Ghana’s cocoa regulator, COCOBOD, is breaking away from a 32-year tradition of seeking funds from international banks for the annual cocoa crop season to adopt a method of self-reliance at the start of the 2024/2025 cocoa crop season in September 2024.

    Cocoa, which is a key export commodity for Ghana, has generated significant revenue streams for the country over the years. 

    Cumulatively, Ghana and Ivory Coast account for about 60 percent of the global supply for cocoa beans. 

    While some argue that cocoa and gold are Ghana’s top exports, there is contention over the country’s ability to meet global supply and consumer demand like its counterpart Ivory Coast.

    Why is this transition necessary?

    Chief Executive Officer of COCOBOD, Joseph Boahen Aidoo, has explained that the decision to move away from seeking syndicated loans from external sources is part of a broader strategy towards self-reliance and reducing dependency. 

    Ghana’s cocoa production output reached 429,323 metric tons at the end of the harvest in June this year, according to data released by COCOBOD.

    This production output is less than 55 percent of the average seasonal output. The decline in output has been attributed to disastrous harvests caused by poor weather conditions, swollen pod disease, and illegal mining activities taking place in cocoa-growing areas.

    These developments have not only disrupted COCOBOD’s operations but have impacted the supply chain, pushing prices for cocoa beans up on the international market.

    Additionally, the COCOBOD CEO on Tuesday, August 21, 2024, told journalists that the regulator has often relied on these external funds to undertake activities in the cocoa crop season over three decades, a move which he says has strained its finances and operations with regards to loan repayment obligations.

    “Is it good that COCOBOD should always be heard going to borrow? Are we comfortable with that tag? Today, you have heard that COCOBOD is not going to borrow. It is quite a good time for any human being to learn his or her lessons.

    “In 32 years, we have learned our lessons and we think that it is high time we wean ourselves from the offshore international financial markets and then finance the crop ourselves here, and that is exactly what we are going to do. And I think it comes with a lot of projectory benefits,” he explained.

    The COCOBOD boss said the regulator is aiming to save more than $150 million as part of this self-reliance strategy during the upcoming 2024-2025 cocoa season.

    “We are looking for $1.5 billion this crop season, and looking at the interest rates last year, which were over 8 percent, plus the cost, it means that we can save more than $150 million by the decision not to go offshore,” he explained.

    How will COCOBOD fund itself?

    While Ghana’s cocoa regulator is yet to provide a more detailed insight into how it will fund its activities moving forward, it plans to tap from domestic sources to fund cocoa purchases from farmers in the new season.

    However, the absence of cocoa funding will mean that the Bank of Ghana will have to tap into revenue accrued from the sale of cocoa beans to build foreign reserves instead of relying on the bulk amount it receives every October when the harvesting season begins.

    “Whatever cocoa we sell is sold in dollars, and so the revenue from our cocoa will be paid in dollars. Our forward contracts will all be paid for in dollars when we deliver the cocoa so the dollars will come in to shore up the cedi,” the COCOBOD CEO briefly explained.

    Also, for the upcoming 2024-2025 cocoa crop season, production output has been cut by 20 percent to 650,000 tons on the back of poor weather concerns, lack of fertilizer, disease, and poor environmental practices in growing areas also known as galamsey.

    These disruptions have also placed Ghana in the second spot behind Ivory Coast, who is at the top spot of the summit.

    On the international market, demand and supply disruptions continue to impact cocoa prices, with futures rising above $11,000 per ton for the first time, according to Bloomberg Commodities. 

    What’s in it for farmers?

    Ghana’s COCOBOD says farmers will remain the topmost priorities during this transition, emphasizing that they will not be short-changed in pricing measures and decisions.

    “It is not true that COCOBOD is not giving the farmers a fair price. If you follow the narrative, you will notice that from 2017 on, COCOBOD has been even more than fair. The government had been more than fair to farmers because this was a time when prices had collapsed, but the government and COCOBOD did not reduce the farmers’ price,” the COCOBOD CEO stated.

    Conclusion

    Even as Ghana’s cocoa regulator will continue to remain under significant scrutiny as it embarks on a transition toward self-reliance, the success of this strategy is crucial for the country. 

    Cocoa is a significant contributor to the country’s economy, providing livelihoods for millions of farmers and being a major export commodity for Ghana.

    Source: Ghanaweb

  • No more borrowing, COCOBOD set to finance itself in coming days – CEO

    No more borrowing, COCOBOD set to finance itself in coming days – CEO

    Ghana Cocoa Board (COCOBOD) has announced that it will transition to self-financing for the 2024/2025 cocoa crop season, starting in September 2024.

    For the past 32 years, COCOBOD has relied on offshore borrowing to finance cocoa purchases through its cocoa syndication programme.

    However, the organization is shifting its strategy to reduce dependency on external funds.

    Speaking to the media on Tuesday, August 20, COCOBOD’s CEO, Joseph Boahen Aidoo, explained that this new approach is expected to save an estimated $150 million.

    “Is it good that always COCOBOD should be heard going to borrow? Are we comfortable with that tag? Today, you have heard that COCOBOD is not going to borrow. It is quite a good time for any human being to learn his or her lessons.

    “In 32 years, we have learned our lessons and we think that it is high time we wean ourselves from the offshore international financial markets and then finance the crop ourselves here and that is exactly what we are going to do. And I think it comes with a lot of projectory benefits.

    “We are looking for $1.5 billion this crop season and looking at the interest rates last year, which were over 8 percent, plus the cost, it means that we can save more than $150 million by the decision not to go offshore.

    He also denied assertions that COCOBOD was short-changing farmers with its pricing of cocoa.

    “It is not true that COCOBOD is not giving the farmers a fair price. If you follow the narrative, you will notice that from 2017 on, COCOBOD has even been more than fair.

    “The government had been more than fair to farmers because this was a time when prices had collapsed but the government and COCOBOD did not reduce the farmers’ price.”

  • Zenith Bank has frozen over GHS1.6m of our funds due to DDEP – COCOBOD

    Zenith Bank has frozen over GHS1.6m of our funds due to DDEP – COCOBOD

    The Ghana Cocoa Board (COCOBOD) has revealed that more than GH¢1.6 million of its investments are currently tied up with Zenith Bank due to the government’s Domestic Debt Exchange Programme (DDEP).

    During a session with the Public Accounts Committee of Parliament, Ray Ankrah, Deputy CEO of COCOBOD for Finance and Administration, reported that while GH¢200,000 has been recovered from an initial sum exceeding GH¢1.8 million, efforts are ongoing to reclaim the remaining balance.

    “COCOBOD is pursuing the amount. So far Zenith has paid GH¢253, 550 of the total amount so we are still pursuing the remaining amount.”

    “Honourable chair, what we do is every now and then we hold meetings with them, we remind them with letters so we are sure that once the funds are available they will transfer it into our account,” he stated.

    The auditors reported that from the total amount exceeding GH¢1.8 million, GH¢255,403 had been recovered or repaid, leaving an outstanding balance of GH¢1,611,884.45. A payment plan for the remaining balance has yet to be determined.

  • COCOBOD expects 800,000 metric tons of cocoa in 2024/25 season after GHC943m investment

    COCOBOD expects 800,000 metric tons of cocoa in 2024/25 season after GHC943m investment

    The Ghana Cocoa Board (COCOBOD) is projecting a significant boost in cocoa production for the 2024/25 season, anticipating over 800,000 metric tons, following a substantial GHC943 million investment aimed at rehabilitating aged and disease-ridden cocoa farms.

    This effort is part of a broader strategy to revive the cocoa sector and support the livelihoods of farmers.

    COCOBOD’s Chief Executive Officer, Joseph Boahen Aidoo, revealed that the nearly billion-cedi investment made last year was crucial to restoring cocoa farms affected by the devastating swollen shoot virus disease (CSSVD) and aging trees.

    These initiatives, he explained, are essential to sustaining the country’s cocoa output and ensuring the welfare of farmers.

    In an interview, Mr. Aidoo and his Deputy CEO in charge of Finance and Administration, Ray Ankrah, addressed concerns raised in the media regarding COCOBOD’s rising administrative expenses, which reportedly hit GH¢3.4 billion last year.

    The CEO clarified that this figure includes the substantial funds allocated to rehabilitate cocoa farms, countering claims that the money was solely spent on administrative overhead.

    “The money was used to fund the cutting down of diseased and aged farms, nurse, and plant seedlings as well as maintain the rehabilitated farms before handing them over to farmers across the country,” Mr. Aidoo stated. He stressed that these strategic investments were necessary and justified the increase in administrative costs.

    Mr. Ankrah further elaborated that a significant portion of the administrative costs was related to the GHC943 million expenditure on productivity enhancement programs (PEPs).

    He noted that this expenditure, which was supported by a loan from the African Development Bank (AfDB), was a one-time cost that played a pivotal role in sustaining the livelihoods of affected farmers and boosting future cocoa production.

    The Deputy CEO dismissed claims that the administrative expenses were excessive, stating, “The GH¢943 million was actually used to rehabilitate diseased and moribund farms to sustain the livelihood of the affected farmers and increase cocoa production, starting with the 2024/25 season.”

    He added that, excluding this one-off expenditure, COCOBOD’s administrative costs had actually decreased in 2023.

    Addressing the broader impact of the swollen shoot virus disease, Mr. Aidoo emphasized that the rehabilitation of cocoa farms is critical for maintaining the sector’s viability. The disease, which significantly reduces cocoa yields before killing the trees, has been a major factor in the recent decline in national cocoa production.

    COCOBOD’s efforts, he said, are vital to preventing further loss of productive land and ensuring the continued benefits derived from cocoa farming.

    Mr. Aidoo also highlighted the board’s commitment to supporting farmers with adequate and timely inputs for the upcoming season, including hand pollination, pruning, and irrigation initiatives.

    These efforts are not only aimed at increasing production but also at making cocoa farming more appealing to the younger generation, encouraging more youth to enter the sector.

    On the financial front, Mr. Ankrah pointed to COCOBOD’s successful turnaround in 2023, where the board recorded a profit of GH¢2.3 billion, a significant recovery from the GH¢4.2 billion loss in 2022.

    He attributed this to prudent financial management and ongoing efforts to enhance cocoa production and profitability, despite the challenges posed by the COVID-19 pandemic.

    In conclusion, Mr. Aidoo assured farmers of COCOBOD’s continued commitment to implementing better policies and programs in the upcoming season, in line with the government’s goals of improving farmer livelihoods and sustaining the country’s cocoa production.

  • Massive! Money laundering, corruption allegations hit COCOBOD as CEO award billions in contracts to his son – Netizen alleges

    Massive! Money laundering, corruption allegations hit COCOBOD as CEO award billions in contracts to his son – Netizen alleges

    An exposé shared by the Gh Chronicles Twitter handle has raised serious allegations against Joseph Boahen Aidoo, the Chief Executive Officer (CEO) of COCOBOD, suggesting his involvement in a questionable transaction.

    The report claims that the COCOBOD CEO awarded lucrative contracts worth billions to his son.

    According to the allegations, a company named Agri-Plus Horizon Farm Limited, reportedly owned by Joseph Seth Aidoo Jnr., who is believed to be the son of the COCOBOD CEO, was granted an exclusive contract.

    This contract allegedly involved the sole supply of 75,000 litres of Transform Akate Insecticide at a rate of US$103.5 per litre, amounting to a total of US$7,762,500.00.

    It is further alleged that Agri-Plus Horizon Farm Limited subcontracted the supply of this insecticide to Dow AgroSciences Limited (DOW), a company based in the UK.

    These allegations have sparked a wave of mixed reactions among netizens, fueling a heated debate on social media.

    See below post:

  • COCOBOD addresses loan default claims, clarifies debt status

    COCOBOD addresses loan default claims, clarifies debt status

    The Ghana Cocoa Board (COCOBOD) has addressed allegations of repeated loan defaults, providing clarity on its financial obligations and repayment status.

    As of December 31, 2022, COCOBOD’s total debt to the Bank of Ghana was reported at GH¢8.24 billion.

    This debt includes a GH¢1.99 billion loan facility with a 10-year term and an overdrawn Cocoa Bills Retirement Account totaling GH¢6.86 billion.

    COCOBOD clarified that the GH¢1.99 billion loan, secured in 2013, was meant to cover outstanding cocoa bills from the 2010/2011 season. The loan included a moratorium until 2018 due to cash flow issues worsened by low cocoa prices during the COVID-19 pandemic.

    Although there have been delays in repaying the principal, COCOBOD has consistently met interest payments and has set up a revised repayment plan to start in October 2024. The Board firmly denied any default on this loan.

    For the overdrawn Cocoa Bills Retirement Account, COCOBOD attributed the deficit to non-marketable cocoa bills from the 2016/2017 season, which were crucial for maintaining cocoa production amid falling international prices and changing agricultural trends.

    These bills were rolled over at elevated interest rates due to prevailing economic conditions.

    During the 2023 Domestic Debt Exchange Program, the government assumed a substantial portion of this debt, providing COCOBOD with a 50% discount. The remaining debt balance is still noted but does not reflect the initial amount claimed.

    COCOBOD’s Public Affairs Department emphasizes that the Board has not defaulted on its commitments and is managing its debt obligations responsibly.

    Read full response in the statement below:

  • A-G orders BoG to recover COCOBOD’s GHS8.241bn debt

    A-G orders BoG to recover COCOBOD’s GHS8.241bn debt

    The Auditor-General’s 2023 report has urged the Bank of Ghana to take steps to recover GH¢8.241 billion that the Ghana Cocoa Board (COCOBOD) owes.

    The report highlights that COCOBOD has consistently failed to meet its loan repayment obligations to the central bank.

    By December 31, 2022, the outstanding principal amount had reached GH¢8.241 billion.

    It suggested that the central bank should adopt measures to reduce its risk exposure to quasi-government entities and set up clear repayment schedules for future loans.

    The report also recommended that the Bank of Ghana formalize its “Gold Purchase Programme” with the Precious Mineral Marketing Company (PMMC).

    The Auditor-General pointed out the lack of a formal agreement for these transactions, which has left key details, such as fees or commissions paid to PMMC, unconfirmed.

    It stressed the importance of having formal agreements for such transactions to ensure both transparency and accountability.

  • COCOBOD owes BoG over GHC8bn – Auditor General

    COCOBOD owes BoG over GHC8bn – Auditor General

    The 2023 Auditor General Report has called on the Bank of Ghana to recover GH¢8.241 billion owed by the Ghana Cocoa Board (COCOBOD).

    The report highlights that COCOBOD has repeatedly defaulted on loans provided by the Bank of Ghana, resulting in an outstanding principal amount of GH¢8.241 billion as of December 31, 2022.

    The Auditor General has recommended that the Central Bank establish policies to mitigate its exposure to quasi-government entities and ensure clear repayment plans are in place for loans.

    Furthermore, the report urges the Bank of Ghana to formalize its “Gold Purchase Programme” agreement with the Precious Minerals Marketing Company (PMMC). The Central Bank had engaged PMMC to handle gold purchases and sales on its behalf.

    However, the Auditor General found that a formal agreement for these transactions was missing.

    “As a result, we could not confirm salient terms of the engagement including fees or commissions paid to PMMC for their services. Transactional relationships of this nature must be formalized with an agreement,” the report emphasized.

  • COCOBOD makes $149.8m profit through restructured debt – Auditor General’s report

    COCOBOD makes $149.8m profit through restructured debt – Auditor General’s report

    Ghana’s Cocoa Marketing Board (Cocobod) reported a profit of GH¢2.3 billion ($149.84 million) for the 2022/23 fiscal year, largely due to debt restructuring, according to an Auditor General report obtained by Reuters on Tuesday.

    The report revealed that this was Cocobod’s first profit after experiencing six consecutive years of losses.

    As the world’s second-largest cocoa producer, Ghana has been working to restructure its $30 billion debt, including that from the cocoa sector, to support a $3 billion, three-year International Monetary Fund program and recover from its most severe economic crisis in decades.

    Last month, Ghana concluded a deal with its official creditor committee and reached a preliminary agreement with two bondholder groups to restructure approximately $13 billion of its debt, advancing its debt overhaul efforts.

    These developments followed a domestic debt restructuring program in 2023, during which various bonds, including cocoa bills used to address Cocobod’s short-term liquidity needs, were exchanged for long-term securities with reduced yields.

    Cocobod “ended the year with a profit of 2.3 billion cedi, compared with a loss of 4.2 billion cedi in 2022,” said the auditor general report on public corporations and boards yet to be published.

    Ray Ankrah, deputy CEO of Cocobod, said the recovery was largely on the back of the debt restructuring.

    “There were huge financing costs; we were paying something in the range of 34% but it’s now down to 13% (after the restructuring),” he said.

    Mr. Ankrah noted that rising global cocoa prices, higher sales of cocoa beans, currency stability, and improved cost management all contributed to the profit.

    The audit report indicated that Cocobod’s revenue grew by 41.7% to GH¢17.7 billion in 2023, driven by increased sales of cocoa beans.

    According to the report, Cocobod may still face challenges in meeting its short-term financial commitments due to inadequate liquidity.

    Cocoa prices have more than doubled this year, primarily due to poor harvests in Ghana and Ivory Coast, which together account for 60% of the world’s cocoa supply.

  • COCOBOD designs forward sales strategy for cocoa beans to mitigate price increase

    COCOBOD designs forward sales strategy for cocoa beans to mitigate price increase

    Chief Executive Officer of the Ghana Cocoa Board (COCOBOD), Joseph Boahen Aidoo, has noted that the cocoa bean forward sales is imperative in fostering sectoral growth and sustainability.

    His remarks come in response to calls from several Civil Society Organizations for COCOBOD to reconsider its forward sales cocoa marketing system, especially in light of escalating market prices.

    Speaking to Joy Business following visits to farms in the Western and Central regions, Mr. Boahen Aidoo underscored that employing forward sales is a deliberate strategy designed to mitigate price risks and manage stock effectively.

    “I am not ruling out spot for sales but it is always better to do forward sales. The buyer himself want forward sales just as the sellers. At all times, forward sales have been better than spot”.Mr. Boahen Aidoo explained that “The situation only changed for last year due to some announcement from the World Meteorological Centre on the El Nino which caused the market to panic a bit which resulted in people raising the price of cocoa.“Now, El Nino has retreated and the prices of cocoa have started coming down” he added.

    Mr. Boahen Aidoo advised cocoa farmers across the seven regions to adopt hand pollination practices.

    He noted that some farmers have experienced notable productivity gains, resulting in increased incomes since the introduction of hand pollination interventions in 2017.

    Additionally, he endorsed the use of motorized slashers and pruners to enhance cocoa tree exposure to sunlight and air, which aids in increasing fruit production.

    “Now that prices are good on the international market, what is needed is more yields to make farmers benefit. That’s why we’ve deliberately come up with the hand pollination programme. So, all cocoa farmers should embrace it,”

    “Ordinarily, if you allow even pruned farms to fruit on their own, for the natural insects to do the pollination, you may end up getting about five to eight bags per hectare, but some farmers were producing between 20 bags and 30 bags per hectare. That’s where we want all our farmers to get to” he added.

    The Ghana Cocoa Board is also asking farmers to stop the use of cocktail chemicals which is the practice of mixing insecticides and fungicides to spray farms, but rather use poultry manure to improve soil nutrients to support higher yields of produce.

    “Now that prices are good on the international market, what is needed is more yields to make farmers benefit. That’s why we’ve deliberately come up with the hand pollination programme. So, all cocoa farmers should embrace it,”

    “Ordinarily, if you allow even pruned farms to fruit on their own, for the natural insects to do the pollination, you may end up getting about five to eight bags per hectare, but some farmers were producing between 20 bags and 30 bags per hectare. That’s where we want all our farmers to get to” he added.

    The Ghana Cocoa Board is urging farmers to cease using cocktail chemicals—mixtures of insecticides and fungicides for spraying farms—and to instead utilize poultry manure to enhance soil nutrients for increased crop yields.

  • World Bank supports COCOBOD with US$100m to rehabilitate cocoa farms

    World Bank supports COCOBOD with US$100m to rehabilitate cocoa farms

    The Ghana Cocoa Board (COCOBOD) has secured a US$100 million financing facility from the World Bank to rehabilitate old cocoa farms across six districts in the country, including Assin Fosu, New Edubiase, Nkawkaw, and Juaso.

    This four-year project will support the cutting down of cocoa trees that are over 20 years old, prepare the land, and provide planting materials such as seedlings and suckers.

    COCOBOD’s Chief Executive Officer, Mr. Joseph Boahen Aidoo, announced this during a field trip to farms in Assin Fosu, Central Region, on July 4, 2024.

    The visit aimed to assess the work of extension officers, evaluate government interventions for farmers, and educate them on best practices to increase cocoa yields.

    Mr. Aidoo explained that while the trees to be cut down are not diseased, they have outlived their lifespan, with some being over 30 years old, becoming ‘moribund.’

    He emphasized that cocoa trees over 20 years old are unproductive and require rehabilitation to rejuvenate the farms and increase production.

    “Once cocoa hits 20 years and above, it has spent its life span, and from that stage, you realise that it bears no fruits, no pods, and the flowers don’t come, yet the farmer would be maintaining such a farm, and this is not productive,” he said.

    COCOBOD will support farmers with plantain suckers, labor for planting, and provide extension officers to assist with farm management for optimal yields. Mr. Aidoo noted that without such support, farmers would struggle to achieve the desired outcomes.

    He highlighted a similar project implemented with support from the African Development Bank (AfDB) under the Cocoa Rehabilitation Programme, which focused on ending Cocoa Swollen Shoot Virus Disease (CSSVD).

    During the visit, farmers urged the government to expedite road construction in cocoa-growing areas to reduce post-harvest losses and improve transport of produce. They also called for more extension officers, recognizing their valuable training and assistance.

    Nana Kweku Appotoi IV of Assin Nyankomase expressed concern over deplorable roads in cocoa-growing communities, urging COCOBOD to address this issue. He also committed to preventing illegal miners from taking over cocoa farms and encouraged farmers to adhere to best practices and share their knowledge.

    Mr. Aidoo assured farmers that the government would allocate funds to fix roads in cocoa-growing communities following cocoa price hikes. He advised against growing cocoa in sandy and clay soils, burning weeds, and selling cocoa branches for firewood. Instead, he recommended using these branches as mulch and avoiding harmful weedicides like ’round-up’ and glyphosate, which damage soil health and reduce crop yields.

    Since 2020, COCOBOD has procured about 100,000 motorized slashers and pruners to help clear cocoa farms and increase production, urging farmers to access them from district offices.

    Mr. Aidoo also noted that COCOBOD has improved the extension officer-to-farmer ratio from one-to-three thousand to one-to-600, nearing the Food and Agriculture Organization’s (FAO) international standard of one officer-to-500 farmers.

  • Fiifi Boafo to serve as spokesperson for NAPO

    Fiifi Boafo to serve as spokesperson for NAPO

    The Head of Corporate Affairs at COCOBOD, Fiifi Boafo, has been named as the spokesperson for the New Patriotic Party’s (NPP) running mate, Dr. Matthew Opoku Prempeh.

    According to reliable sources from MyNewsGh.com, Boafo will manage all communication activities for Dr. Opoku Prempeh, drawing on his extensive experience in the media sector to effectively convey the governing party’s messages.

    Many are questioning whether Mr Boafo will step down from his role as Corporate Affairs Director at COCOBOD as the campaign season intensifies.

    In preparation for Dr. Opoku Prempeh’s formal introduction on July 9, 2024, in the Ashanti Region, additional appointments are expected to bolster his campaign team and ensure a robust start.

  • World Bank supports COCOBOD’s cocoa rehabilitation with $100m

    World Bank supports COCOBOD’s cocoa rehabilitation with $100m

    The Ghana Cocoa Board (COCOBOD) has successfully obtained a US$100 million financing facility from the World Bank, aimed at rehabilitating aged cocoa farms across six key cocoa-growing districts in the country.

    The project will cover Assin Fosu, New Edubiase, Nkawkaw, and Juaso districts.

    This four-year initiative focuses on rejuvenating cocoa farms by cutting down trees that have lived for over 20 years, preparing the land, and providing necessary planting materials such as seedlings and plantain suckers.

    The Chief Executive Officer of COCOBOD, Mr. Joseph Boahen Aidoo, shared these details during a media interaction on July 4, 2024, as part of a field visit to farms in Assin Fosu in the Central Region.

    During the visit, aimed at evaluating the efforts of extension officers and government interventions, Mr. Boahen Aidoo explained that while the trees to be cut down are not diseased, they have outlived their productive lifespan, with some exceeding 30 years and becoming unproductive.

    “Once cocoa hits 20 years and above, it has spent its life span, and from that stage, you realise that it bears no fruits, no pods, and the flowers don’t come, yet the farmer would be maintaining such a farm, and this is not productive,” he noted.

    The rehabilitation project is expected to rejuvenate these farms, thereby boosting cocoa production. COCOBOD will support farmers with plantain suckers and labor for planting, along with providing extension officers to educate and assist farmers in managing their farms for optimal yields.

    Mr. Boahen Aidoo emphasized the necessity of comprehensive support, noting that simply providing seedlings would not be sufficient for the farmers to achieve the desired outcomes.

    Highlighting the scale of the project, he mentioned an example where farmers were working on a 30-hectare farm.

    “If you cut the trees from this 30-hectare land, and you want the farmer to provide plantain suckers within one year, they cannot. That’s why we’re supporting them,” he explained. He also referenced a similar project executed with support from the African Development Bank (AfDB), which aimed to combat the Cocoa Swollen Shoot Virus Disease (CSSVD).

    During the visit, farmers urged the government to expedite the construction of roads in cocoa-growing areas to facilitate the transport of produce and reduce post-harvest losses.

    They also called for more extension officers, acknowledging the significant help provided by these officers in their farming activities.

    Nana Kweku Appotoi IV, Aboabohene of Assin Nyankomase, lamented the poor road conditions in cocoa-growing communities and urged COCOBOD to lead efforts in improving the infrastructure.

    Responding to these concerns, Mr. Boahen Aidoo assured farmers that the government would allocate funds to improve roads in cocoa-growing areas following recent increases in cocoa prices.

    He advised farmers on best practices, such as avoiding cocoa cultivation in sandy and clay soils, not burning weeds, and using tree branches as mulch rather than selling them as firewood.

    He also cautioned against the use of harmful weedicides and materials like poultry manure, which can damage soil health and reduce crop yields.

    Mr. Boahen Aidoo highlighted COCOBOD’s efforts to equip farmers with modern tools, noting that since 2020, they had procured about 100,000 motorized slashers and pruners to help clear cocoa farms and increase production. He encouraged farmers to access these tools from various district offices.

    Additionally, he pointed out that COCOBOD had improved the extension officer-to-farmer ratio from one officer per 3,000 farmers to one officer per 600 farmers, nearly meeting the Food and Agriculture Organization’s (FAO) standard of one officer per 500 farmers.

  • COCOBOD Trial: GSA conducted test on Lithovit fertilizer in a wrong laboratory

    COCOBOD Trial: GSA conducted test on Lithovit fertilizer in a wrong laboratory

    In the trial of the former COCOBOD boss and two others, it has been revealed that the test result on Lithovit liquid fertilizer, presented by the prosecution as evidence, was conducted in the wrong lab at the Ghana Standards Authority (GSA).

    Moreover, the lab used specifications meant for a different product, not fertilizers, for its report.

    The Court learned that the Drugs, Cosmetics, and Forensic lab, which conducted the disputed test, used specifications and ranges intended for testing water, not fertilizers.

    Consequently, the GSA test conducted by Peter Quartey-Papafio in 2017 concluded that Lithovit “is harmful to humans, animals, as well as hazardous to water.”

    In a twist, the third prosecution witness, Dr. Yaw Adu-Ampomah, disclosed that a COCOBOD board member informed him that Lithovit liquid fertilizer is like water that farmers drink on their farms.

    The accused, including former COCOBOD Chief Executive Dr. Stephen Opuni, businessman Seidu Agongo, and Agricult Ghana Limited, face 27 charges, including defrauding by false pretences and willfully causing financial loss to the state.

    During court proceedings presided over by Justice Aboagye Tandoh, it emerged that the Drugs, Cosmetics, and Forensic lab was unsuitable for fertilizer analysis, with the appropriate lab being the General Chemistry lab under the Material Science Department.

    This discrepancy raises doubts about the validity of the prosecution’s evidence on Lithovit’s effectiveness as a fertilizer. The prosecution heavily relied on this flawed report, calling witnesses who used it to challenge Lithovit’s efficacy.

    Further revelations in court indicated that Dr. Adu-Ampomah excluded a favorable GSA test result from his report, which he knew of through meetings at EOCO and the office of the former Senior Minister, Yaw Osafo Marfo.

    Although Quartey-Papafio claimed to have subcontracted part of the testing, there is no evidence to support this assertion.

    Head of the Material Science Department, Mrs. Genevieve Baah Mante, confirmed learning about the Quartey-Papafio report during an EOCO meeting but denied involvement from her department.

    Additionally, Chief Scientific Officer Ms. Fiona Gyamfi from the Water Laboratory denied any role of her lab in Quartey-Papafio’s report during her testimony.

    The trial also highlighted that the GSA lacked a standard for cocoa fertilizer at the time, which further complicates the case.

    Ms. Gyamfi clarified the GSA’s subcontracting procedures and reiterated that no record exists of her lab receiving a subcontracted sample for testing.

    The court learned that the Quartey-Papafio report used GS175 standards for drinking water quality, not suitable for fertilizer testing. This standard does not cover elements crucial for fertilizer analysis, such as calcium, magnesium, and urea, which are specified in GS220 2014 for natural mineral water.

    These revelations underscore serious procedural flaws and misuse of standards in the prosecution’s case against the accused persons during the ongoing six-year trial.

    Find below excerpts of Tuesday’s proceedings:

    Q: Yesterday, we ended up on the statement you gave at EOCO, and I was asking if there was any discussion with EOCO on the Quartey-Papafio report.

    A: Yes.

    Q: What was the discussion?

    A: I remember when we were about to leave, I was finally asked that if I should give remarks on that report, what would I say?

    Q: And what did you say?

    A: And then I said the result stated in the report is not adequate enough for me to make a remark.

    Q: So when you said that, what did they say?

    A: They said it’s fine; it’s okay.

    Q: In relation to your statement, what did they do?

    A: They asked me to write it, so I stated it in my statement.

    Q: And with respect to cocoa, what did you tell them, and what did they ask you to do?

    A: Because in their request, they wanted us to also find out if the sample was suitable for cocoa growth, and we could not determine that, they asked us why, and then I responded that we did not have a standard for cocoa fertilizer at the time of the work; that was why we could not do it.

    Q: So your response on that, what did they ask you to do?

    A: We were asked to also write it in our statement.

    Q: And did you?

    A: Yes.

    Q: When you say ‘we,’ who do you mean, and who went to EOCO?

    A: My HOD and myself.

    Q: Was there any other meeting in respect of this test between your department and any other person or institution that you know about?

    A: Yes. We received an invitation to meet with Honourable Osafo Marfo.

    Q: Did you know his designation at the time?

    A: He was the Senior Minister by then.

    Q: And when you say ‘we received an invitation,’ who received the invitation?

    A: Mrs. Genevieve Baah Mantey and myself.

    Q: In respect of what?

    A: The analysis we conducted on the samples.

    Q: Did the meeting come on?

    A: Yes.

    Q: You personally, were you at that meeting?

    A: No.

    Q: Why were you not at the meeting?

    A: When the invitation came, the time for the meeting was 5 pm, and at that time, my nanny had travelled, so I had to go and pick my children from school myself, so I could not make it to the meeting.

    Q: But do you know whether the meeting came on anyway, although you were not there?

    A: Yes, my HOD told me.

    Q: You talked about subcontracting a test to the forensic lab. That is a very normal procedure with the Ghana Standards Authority. Is that the case?

    A: Yes.

    Q: How is it done?

    A: Because of the nature of our work, every laboratory has its scope of work. So, if you receive a sample and you cannot analyze it, or the lab does not have the capacity to do a particular parameter or test, the authority allows us to give it to any of our sister labs.

    Q: And what is the procedure?

    A: We have the subcontracting form, so you fill it with the sample particulars together with the parameter or the test you want to carry out. Then you send the sample together with the subcontract form you fill to the lab you are subcontracting to. The lab will also take it, fill part of the form, and then return a copy back to you. They will tell you when you can come for the result or when the result will be ready. The lab can pick it up by itself or it would be sent to the secretary for dispatch to the lab.

    Q: Are those subcontracts entered into your books?

    A: When you are sending the sample, you don’t enter it, but when you receive the sample, you enter it.

    Q: So the General Chemistry lab would enter it when they receive it?

    A: Yes.

    Q: Tell this Court. Do you have a Material Science Department?

    A: Yes.

    Q: The Material Science Department, what do they do?

    A: It is a department that houses the six various laboratories under it.

    Q: So when somebody says that they subcontracted the sample to the Material Science laboratory, in your institution, Ghana Standards Authority, what would that mean?

    A: It could be one of the labs under the department.

    Q: Have you seen Exhibit H page 105 where Quartey-Papafio’s result is? Look at the next page where the results are. Mr. Quartey-Papafio’s test relies on some standard; he quoted a standard at the specification column.

    A: GS175 part 1.

    Q: You have a copy of GS175 part 1?

    A: Yes.

    Q: What document is the GS175?

    A: Water quality specification for drinking water.

    Q: At Ghana Standards Authority, what do you use GS175 for?

    A: It is used at the water laboratory for testing drinking water.

    Q: Look at the photocopy I gave you. Is that photocopy an extract of the cover page, foreword, and pages 1 to 7 of GS175?

    A: Yes.

    Counsel for 2nd and 3rd Accused: We wish to tender it through her.

    Counsel for Republic: We don’t have an objection.

    Counsel for 1st Accused: We don’t have an objection and we wish to add that as contained in Exhibit H with the Ghana Standard Authority report by Quartey Papafio, it states that the specification is GS175 and that is the document we have.

    By Court: The extract, Ghana Standard GS175: 2017, 5th Edition (Water Quality – Specification for drinking water), is tendered without an objection from counsel for A1 and the Prosecution and is admitted and marked as Exhibit 147/A2 and A3.

    Q: Tell this Court, look through the GS175, the copy you have and the extract Exhibit 147, and tell this Court if there is any standard or reference for fertilizer.

    A: There is none.

    Q: Can GS175, Exhibit 147, be the standard for testing fertilizer?

    A: No.

    Q: You have Exhibit H page 106 where the results are. You would find the entry there; calcium and the specification for calcium is 19.7. Have you seen it?

    A: Yes.

    Q: Is there any range, standard, or reference for calcium in GS175 Exhibit 147?

    A: No.

    Q: What about magnesium, is there any range, reference, or standard in Exhibit 147, GS175?

    A: No.

    Q: Is the reference, standard, or range for urea in Exhibit 147?

    A: No.

    Q: Mr. Quartey-Papafio told the Ghana Police that he subcontracted the Exhibit to the Material Science Laboratory. Would you know the laboratory where he subcontracted to?

    A: No.

    Q: Did you at the General Chemistry Laboratory ever get to know during all your discussions about the test that the forensic lab subcontracted the test resulting in the result in Exhibit H for testing? Did you get to know?

    A: No.

    Q: Did it come up at any time in your meetings in EOCO that Mr. Quartey-Papafio subcontracted the sample to another institution?

    A: No.

    Q: If you look at the same Exhibit H page 106, it talks about calcium, magnesium, and urea. If you want the reference for calcium and magnesium, where would you find it?

    A: It would be found in the GS220 2014. That is the water quality specification for natural mineral water.

    Q: What do you have in your hand?

    A: An extract of the GS220 2014.

    Q: There is a table in the GS2014 itself where the specifications are. Is that correct?

    A: Yes.

    Q: Mr. Quartey-Papafio told the police that the remarks and recommendations were based on the result of the test and the standard used, being that it did not conform with the specifications. Tell this Court, is it possible in science to rely on GS175 to determine whether the sample is good for cocoa?

    A: No.

    Q: Go back to page 106 of Exhibit H. Mr. Quartey-Papafio was very detailed in his remark. He said, “From the foregoing examination and testing, the sample has been adulterated and does not meet the specifications of the standard.” Can you, from looking at his report, state which standard he based his testing and analysis on?

    A: I believe he was referring to GS175 part 1.

    Q: He went on, interestingly, to state that the sample is not recommended for its intended purpose. How do you normally determine the intended purpose of the sample?

    A: To determine that, usually a performance test must be done on the sample before you can ascertain its intended purpose.

    Q: And then he was emphatic, “The sample, therefore, cannot be used as foliar nutrient on cocoa from nursery, growth, and yield stage.” Look at the results stated in the table on page 106 of Exhibit H. Can that lead to the conclusion reached by Mr. Quartey-Papafio?

    A: No, because with the specifications, if you look at our standards, it should come either in maximum or minimum before we can say that the results are within or not within the specification.

    Q: Can you use your standards at the Ghana Standards Authority to determine whether a product can be used as a foliar nutrient from nursery, growth, and yield stage?

    A: No.

    Q: Can this table on page 106 of Exhibit H truly form the basis of the conclusion that “it is harmful to humans, animals, as well as hazardous to water”?

    A: No.

    Q: You have in your hand a photocopy of GS220. Is that correct?

    A: Yes.

    Q: You told this Court that that is where you can get the range of calcium and magnesium. On which page is the table?

    A: Page 5.

    Counsel for 2nd and 3rd Accused: We wish to tender it through her.

    Counsel for Republic: I have no objection.

    Counsel for 1st Accused: I don’t have any objection.

    By Court: A photocopy of the Ghana Standard GS220:2014, 5th Edition (Water Quality – Specification for Natural Mineral Water), is tendered without objection from Counsel for A1 and the Prosecution and is admitted and marked as Exhibit 148/A2 and A3.

    Q: Open page 5 of Exhibit 148; table 2 under the heading ‘Physical and Macro Constituent’. What is the first item under characteristic, pH value?

    A: It is the acidity or the basicity—how acidic or basic a substance is.

    Q: Is that the test you do for fertilizer?

    A: No.

    Q: So when Mr. Quartey-Papafio based his conclusion on the fact that the pH value is 9.3 in Exhibit H page 106, he definitely was not testing for fertilizer, was he?

    A: I don’t know if it was part of the request EOCO made when they submitted the sample to him.

    Q: But what I want to find out is this: Would you need to test for pH value when you are testing fertilizer?

    A: At the time of the work, there was no Ghana Standard for fertilizer, so I don’t know why Mr. Quartey-Papafio tested for it.

    Q: Did you, as the laboratory manager, test for pH value when you are testing for fertilizer?

    A: We normally do not test for pH value.

    Q: In 2017, did you have any standard for urea?

    A: No.

    Q: So the reference for urea in Mr. Quartey-Papafio’s report, Exhibit H page 106, was not available amongst the GSA standards in 2017, was it?

    A: At that time, there was no standard.

    Cross-Examination of DW6/A2 and A3 by Counsel for A1:

    Q: Look at Exhibit 147. It is the present existing Ghana Standard Authority standards on drinking water?

    A: Yes.

    Q: And this is what is referred to by Mr. Quartey-Papafio as the specification he used in the first Ghana Standard Authority report contained in Exhibit H.

    A: Yes.

    Q: Until 2017, the previous standards on drinking water were GS175/2013. Is that not so?

    A: That is so.

    Q: What the Ghana Standard Authority does is that it keeps on improving upon standards by bringing on board international standards to an already existing standard in order to bring it up to best practice existing at the time. Is that not so?

    A: No. What is done is, the standards are reviewed between 4 and 5 years based on situations to improve them.

    Q: You would agree with me that when the reviews are done, they are done to improve the existing standards. Is that not so?

    A: Yes.

    Q: All these standards with respect to GS175 concern standards for drinking water. Is that not so?

    A: It is.

    Q: In fact, when it comes to the scope of drinking water, you have a standard for packaged bottled drinking water which is different from packaged bottled natural water.

    A: Yes.

    Q: When it comes to even the committee which agrees or works on the standards, you have various governmental bodies and representatives from the Ghana Research Institute, the chemistry department of the University of Ghana together with other persons and officials from the Ghana Standard Authority. These constitute the technical committee members on water quality. Is that not so?

    A: Yes.

    Q: In 2017, when these standards, i.e., GS175 2017, were published, it was as a result of an agreement by this committee on drinking water standards.

    A: Yes.

    Q: Can you tell us the standards for packaged natural mineral water?

    A: That is GS220 2014.

    Q: So that is Exhibit 148. Is that not the case?

    A: Yes.

    Q: In 2017, when your committee reviewed the standards for packaged and bottled drinking water, you had a different committee also for natural mineral water.

    A: At that time, in 2017, the GS220 2014 was already available.

    Q: But you had a technical committee for this natural mineral water which is different from the drinking water.

    A: Yes.

    Q: The technical committee of which you were a member, they took into consideration 40 references in coming to the specification for drinking water.

    A: If that is what is here, then yes.

    Q: In agreeing on the standards for drinking water, the technical committee undertook some technical evaluation including identifying different kinds of definitions for water for purposes of standards.

    A: Yes.

    Q: In terms of water by way of standardization under 175, we have different types of it including packaged bottled water, prepared water, spring water, water defined by origin. That is it?

    A: Yes.

    Q: When it comes to water defined by origin, you look at water which comes from underground or from the surface of water. Is that not it?

    A: Yes.

    Q: Then when it comes to natural mineral water, you are dealing with microbiologically wholesome water which originates in an underground water table or deposit. Is that not it?

    A: Yes.

    Q: All these different kinds of water as contained in Exhibit 147, GS175, are important for purposes of standardization.

    A: Yes.

    Q: Turn to page 5 of Exhibit 147. It is a very basic thing that you also have prepared water and under-prepared water, this is water that does not comply with the provisions of water under section 4 of this Exhibit 147.

    A: Yes.

    Q: As a scientist in GSA and the lab, even if you are not in the water laboratory, some of these standards, particulars of which are contained in this Exhibit 147, would definitely be known to the scientists in the laboratory.

    A: No.

    Q: If they don’t know because it is not their specialty, once they are required to do a test and they state and or reference it in their test as a standard, that person would definitely have seen it. Do you agree?

    A: I don’t agree.

    Q: I am putting it to you that it is not possible for somebody who is testing for a substance in a lab and using Exhibit 147 as a standard not to make reference and or take into consideration the standards contained in Exhibit 147 before coming out with a report.

    A: It is possible you have not seen it before. What we normally do is, if the lab is not your lab and the sample has been subcontracted to you, you are supposed to attach that report to your report; you don’t lift the figures from the subcontracted test report and report as if you worked on it.

    Q: If you are not in the water lab and you have a sample of any substance and you state in your report that you are testing the sample against the standards of water then it is a necessary requirement that you have to take into consideration the standards for water before coming out with your report. Is that not it?

    A: Yes. For instances like what we are going through, it is important for the person reporting to be sure of what he or she is putting in the report.

    Q: In testing for the chemical requirement of what would constitute or what is standard water, you are required as contained on page 6 of Exhibit 147 to consider 15 chemical requirements which are listed there.

    A: Yes.

    Q: When you consider any substance against the standard, if you don’t get these 15 chemical requirements then the water cannot be said to have passed the standards of what is good water in Ghana.

    A: No, because it is not only these parameters we base on to say that water is wholesome but there are others.

    Q: But with respect to drinking water, these are the chemical requirements.

    A: Yes.

    Q: You also have different standards for agricultural water, i.e., water for irrigation. Do you?

    A: I have not seen any.

    Q: When it comes to standardization and when you talk about drinking water as it is contained in Exhibit 147 and specifically page 1 with respect to the scope, you can only refer to drinking water for human beings as this is the definition contained herein.

    A: I believe so.

    Q: You would also agree that all personnel in the various laboratories of the Ghana Standards Authority are not oblivious to the fact that their work relates to specialized testing of standards of particular products.

    A: Everybody there is specialized to his or her lab or scope.

    Q: It is due to this level of specialization that the Ghana Standards Authority has a protocol where a particular lab will subcontract a particular testing or a part of it because it is not in its area of expertise with respect to maybe an aspect of it.

    A: Yes. There are a number of reasons why we do subcontracting. Examples could be 1. Specialization 2. Equipment, etc.

    Q: Even when a sample, and in this case, water, is submitted for testing by the chemistry laboratory, the aspect on toxicology would be subcontracted to another lab in the GSA because of the expertise. Is that not so?

    A: Yes.

    Q: Where is Mr. Quartey-Papafio now? Is he on pension?

    A: Yes, he is on retirement.

    Q: When did he go on retirement?

    A: I cannot remember.

    Q: You would agree with me that because of the level of specialization by way of testing of products at the GSA, all the lab technicians, yourself inclusive, are aware of their area of specialization.

    A: Yes.

    Q: You would also agree with me that the forensic, drugs, and cosmetic department is a different department from the Material Science Department which has control over the chemistry lab.

    A: Yes.

    Q: So can any agency, EOCO inclusive, decide to send a sample to any department for testing?

    A: Yes, because they might not know where exactly to take it to.

    Q: In the course of your work at the Ghana Standards Authority, have you had an instance where a sample had been brought to your department which should have been sent to another department for testing?

    A: A lot.

    Q: When it happens what do you do?

    A: When we notice that the sample had already been received mistakenly, we will quickly call the client because we take their contact and advise the client on which laboratory is specialized to do that analysis and then a new contract would be signed but in instances that the client is not reachable, we will take it to the right lab as a subcontracted work and then we pick the report on behalf of the client and give it to the client.

    Q: In respect to the first Ghana Standards Authority report, I will refer to Mr. Quartey-Papafio’s report which is contained on page 106 of Exhibit H. You can confirm that the forensic science laboratory is not the proper department to conduct a test on fertilizer.

    A: Looking at their scope of work, fertilizers do not fall within. So they are not the right people to do the analysis.

    Q: By the normal procedure of the Ghana Standards Authority as you have outlined, what should have happened was that EOCO should have been called back to take the sample to the chemistry lab, or if EOCO could not be reached, the forensic science laboratory should on its own have subcontracted the chemistry lab to do the analysis. Is that not it?

    A: Yes.

    Q: Have you had instances where the clients or the customer has insisted that a particular laboratory should conduct the test even when its attention has been drawn to the fact that it is not the competent laboratory to conduct the test?

    A: I have not experienced any such situation before.

    Q: But in your stay or in your duties as a staff of GSA, you had a few instances, but at least some, in which the reports of the GSA have been challenged by an opposing party.

    A: Yes.

    Q: This happens because either the sample for testing which was brought to GSA was not well handled and therefore a wrong result was obtained. Is that not it?

    A: No. The contentions are not usually with how we handle the samples. It is usually when the samples are not fulfilling requirements because for GSA, a number of measures are taken before tests are carried out, including how the samples are even handled, and then also for us to issue a report that a sample is failing, a number of tests would have been done before.

  • COCOBOD reforms show signs of progress – Report

    COCOBOD reforms show signs of progress – Report

    Director of the Economic Strategy and Research Division at the Ministry of Finance, Dr. Alhassan Iddrisu, reported positive developments in the domestic cocoa industry due to ongoing reforms aimed at improving efficiency and financial sustainability.

    Addressing the Inaugural Quarterly Economic Roundtable, Dr. Iddrisu underscored the cooperative initiatives between the Ministry of Finance and Ministry of Food and Agriculture to rejuvenate the Ghana Cocoa Board (COCOBOD).

    “We are working together to ensure that COCOBOD is put on the radar and being monitored to be certain we improve its operational efficiency and financial viability,” he stated.

    One of the key reforms showing positive outcomes is COCOBOD’s phasing out of road construction activities. Dr. Iddrisu explained, “COCOBOD is phasing out its road construction. The consensus is that there’s a Ministry of Roads and the ministry is a better place to do some roads than COCOBOD itself”.

    This shift has already led to significant cost reductions, with Dr. Iddrisu noting: “The huge COCOBOD Roads expenditures that were hitting the books of COCOBOD have been rationalised and reduced significantly”.

    Another promising reform involves changes to the producer price determination mechanism. The new system, based on FOB prices, aims to reduce shocks to COCOBOD’s finances by reflecting global price volatilities more accurately. “That’s the way to go, so when there are volatilities in the prices they are reflected immediately into the pricing regime – reducing any shock to the books of COCOBOD,” Dr. Iddrisu explained.

    Dr. Iddrisu also emphasized that the Ministry of Finance is enhancing its supervision of COCOBOD, which he believes will enhance the organization’s financial stewardship.

    These advancements are consistent with Ghana’s implementation of reforms in the cocoa sector under the International Monetary Fund’s (IMF) US$3 billion Extended Credit Facility program. Stéphane Roudet, the IMF Mission Chief for Ghana, recently commended the nation’s progress in this regard.

    “We understand that government and COCOBOD are committed to ensuring their activities, such as quasi-fiscal activities, are being curtailed and kept within an envelope which ensures their finances are sustainable,” Mr. Roudet stated.

    As Ghana, the world’s second-largest cocoa producer, presses on with these reforms, initial signs of progress are promising. Streamlined spending, enhanced pricing strategies, and strengthened financial supervision all point to COCOBOD moving in the right direction towards increased efficiency and financial resilience.

    These reforms are anticipated to profoundly influence Ghana’s cocoa sector, potentially transforming cocoa production across West Africa.

  • Ghana rolls out new strategy for sustainable cocoa cultivation

    Ghana rolls out new strategy for sustainable cocoa cultivation

    Ghana has launched a new initiative in partnership with the United Nations Development Programme (UNDP), the Forestry Commission, and the Ghana Cocoa Board (COCOBOD), supported by funding from the Swiss State Secretariat for Economic Affairs (SECO).

    This collaboration marks Ghana’s participation in the third phase of the Green Commodities Programme (III), which builds on progress made since 2010 toward sustainable agricultural production. The initiative, titled Effective Collaborative Action for Sustainable Commodity Production and Trade, aims to drive meaningful change and promote environmentally friendly practices within Ghana’s agricultural sector.

    Specifically, the project seeks to enhance governance within Hotspot Intervention Areas (HIA) and strengthen stakeholder effectiveness to address issues like deforestation, forest degradation, farm resilience, cocoa farmers’ incomes, and poverty reduction.

    This initiative is aligned with the Ghana Cocoa Forest REDD+ Programme (GCFRP) HIA structure, facilitating dialogue and collaborative action among cocoa sector stakeholders through a multi-stakeholder platform. Originally launched in 2015 focusing on Peru and Indonesia, the Green Commodities Programme now extends to Brazil, Malaysia, and Ghana (cocoa).

    In Ghana, GCP III targets the vital cocoa production landscape, crucial for the country’s economy and environmental sustainability. Ayirebi Frimpong, Forest Specialist at UNDP Ghana, expressed enthusiasm for the initiative, emphasizing its role in enhancing sustainable cocoa production through strengthened coordination mechanisms at sub-national levels.

    The initiative responds to the 2021 Glasgow World Leaders Declaration on Forests and Land Use, aiming to halt deforestation by 2030. GCP Phase III emphasizes multi-stakeholder collaboration to enhance national, social, and environmental performance in agricultural commodity sectors.

    This strategic partnership aims to promote sustainable agriculture practices, support smallholder farmers, and assist Ghana in achieving its 2030 Agenda climate goals while maintaining its status as a leading cocoa producer.

    Melissa Salazar, Programme Specialist at UNDP Food and Agricultural Commodity Systems, highlighted the critical need to address agricultural growth challenges, advocating for policies and practices that ensure a sustainable future during the national inception workshop.

    This initiative represents a significant step in Ghana’s commitment to sustainable cocoa production. Leveraging the Green Commodities Programme, Ghana aims to create a collaborative environment supporting smallholder farmers and enhancing agricultural practices.

    The outcomes of this partnership are expected to contribute significantly to Ghana’s economic and environmental objectives, serving as a model for sustainable agriculture globally.