The Government of Ghana has announced a New Producer Price for Cocoa effective Friday, January 8th.  

The producer price of cocoa has been increased from 2, 208 Ghana cedis per tonne to 2,400 Ghana cedis per tonne which is 72.16 percent of the net FOB price.

This figure translates to 150 Ghana cedis per bag of 64 kilograms as compared to 138 Ghana cedis per bag announced in October 2009.

The Buyers’ margin has also been increased from 250 Ghana Cedis per tonne to 280 Ghana cedis per tonne.

This upward revision of the Producer Price of Cocoa for the 2009/2010 season was made upon recommendation from the Producer Price review Committee which is chaired by the Minister of Finance Dr. Kwabena Duffour

The Chief Executive Officer of Cocobod, Mr. Anthony Fofie in an interview with Citi Business outlined the factors that called for the upward review of the recommendations of the Producer Price Review Committee which included the price change.

He said there were concerns raised by some stakeholders about the increase in their share of the FOB.

He said they had several meetings with the Minister of Finance on their concerns and they came out with solutions to the smuggling menace.

He explained smuggling as the price differential between two countries and said it is not only cocoa which is smuggled but fuel and other commodities are smuggled across the border.

He noted that curbing the menace of smuggling is a national exercise so they decided to increase the Producer price of cocoa and the margins that are paid to the license buying companies so they can work equitably and efficiently.