Govt’s 58% increase in producer price for cocoa a complete rip-off – Eric Opoku

Eric Opoku, the Member of Parliament for Asunafo South, has strongly criticized the government for implementing a 58% increase in the producer price of cocoa for the remainder of the 2023/24 crop year.

During an interview on the Point of View on Citi TV, Eric Opoku, who also serves as the Ranking Member of the Food, Agriculture, and Cocoa Affairs Committee alleged that the government provided cocoa farmers with only one out of four prices, which were pegged at the world market rate, labelling it as a “complete rip-off”.

“The argument we are canvassing is that, in the history of cocoa in Ghana, no government has ever given cocoa farmers less than 40% of the world market price, it has never happened. Because COCOBOD is not the producer of the cocoa, it’s just the regulator of the sector.

“The producers are there. Why should the government divide the world market price into four, take three and then give one to the cocoa farmers? What’s the rationale behind it? It’s a complete rip-off and it has never happened in the history of cocoa.”

The legislator argued that a bag of cocoa is priced at GHC8,125 on the world market, and questioned the percentage of this share given to the cocoa farmers.

“Today, if you go to the world market with one bag of cocoa, you are bringing home GHC8,125, and so how much of this money is the government giving cocoa farmers, the producer of the golden pods,” he asked.

He maintained that the 58% increase is the lowest share of the world market given to cocoa farmers in Ghana’s history.

“I said this is the lowest share of the world market price given to cocoa farmers in the history of cocoa in Ghana. We determine cocoa prices based on how much we are getting for cocoa from the world market. Because COCOBOD is serving as an intermediary between the producers and the buyers.

He emphasized, “If you go to the world market, and the environment is so good for the cocoa farmers to the extent that prices are surging to unprecedented levels. Certainly, we will expect the same to happen in the lives of farmers.”