The government on Monday announced an increase in the producer price of cocoa for the 2025/2026 season, raising it from US$3,100 to US$5,040 per tonne — a 62.58% increase in dollar terms.
The decision was taken by the Producer Price Review Committee (PPRC), chaired by the Minister for Finance, Dr. Cassiel Ato Forson, ahead of the new cocoa season, which opens on August 7, 2025.
“It is instructive to note that the Government has by this decision increased the producer price significantly by 62.58% in US$ terms,” said the Finance Minister.
The new price, according to the minister, represents 70% of the gross Free-On-Board (FOB) value of US$7,200 per tonne, aligning with President John Mahama’s promise to pay cocoa farmers 70% of the FOB price.
Ato Forson emphasized that the previous New Patriotic Party (NPP) administration set the FOB value at US$4,850 per tonne for the 2024/25 season and the producer price at US$3,100, which represented 63.9% of the FOB, despite better global market prices at the time.
The government explained that the new gross FOB value was calculated using outstanding contracts for 100,000 tonnes sold at US$2,600 per tonne in the 2023/2024 crop season, as well as forecasts for the upcoming season.
At an average exchange rate of GHS10.25 to US$1, the new producer price in cedi terms is GHS51,660 per tonne, up from GHS49,600, which translates to GHS3,228.75 per 64kg bag.
“This is coming on the back of a strong Ghana Cedi and declining inflation, reflecting the Government’s commitment to improving the livelihoods of our cocoa farmers,” the Minister added.
To protect farmers against income loss from the cedi’s strength, the government had maintained the cedi equivalent of US$3,100 per tonne at GHS16 to US$1 for several months, amounting to a GHS1,114 subsidy per bag sold since Q2 2025.
“This intervention by the government moved the farmer’s share of the FOB from 63.9% to over 99%,” the Minister stated. Enditem
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