Agriculture

The Board of Directors of the Ghana Cocoa Board(Cocobod) has waived its sitting allowances for the remainder of the 2025/2026 cocoa season in support of ongoing reforms within the sector. In a public notice on the 20th February,2026, it explained that the decision forms part of the Board’s commitment to prudent financial management, shared sacrifice, and responsible leadership in addressing the recent operational and financial challenges that has confronted the sector . “ This decision reflects the Board’s commitment to prudent financial management, shared sacrifice, and responsible leadership as COCOBOD undertakes critical reforms to address recent challenges” According to the statement, the eleven member Board chaired by Dr. Samuel Ofosu Ampofo will not receive any sitting allowances for the rest of the cocoa season, stressing that the decision reflects a commitment to prudent financial management and responsible leadership. The Board further reiterated its dedication to promoting accountability and safeguarding the livelihoods of cocoa farmers, while working with government and other stakeholders to secure a resilient and sustainable future for Ghana’s cocoa industry.

The Deputy Minister for Food and Agriculture, John Dumelo, has stated that engagements have already begun to find solutions to the recent spike in the price of ginger. In a tweet on X on 14th February 2026, the Deputy Minister attributed the spike to low harvests following discussions with farmers in the Oti Region on 13th February 2026. He explained that the visit was aimed at finding practical solutions to the problem. This follows reports by the Ghana Statistical Service, which identified ginger as a major driver of food inflation in Ghana. The report showed that ginger alone contributed 6.8% to national inflation — a significant impact for a single food item. Also Business Outlook Africa investigations, conducted prior to the Deputy Minister’s visit, reveal multiple forces driving the sharp rise in ginger prices. Poor rainfall has significantly reduced harvests in the Volta and Ashanti regions. In Ashanti, illegal mining has also eaten into fertile farmland — shrinking supply and inevitably pushing prices higher. To bridge the gap, traders are increasingly importing ginger from Côte d’Ivoire and Togo. The imported variety is often larger and more visually appealing — but it comes at a higher cost. And it’s not just households feeling the pinch. Ghana’s beverage and confectionery industries consume ginger in large volumes — from non-alcoholic and alcoholic drinks, to the growing demand for sobolo, biscuits, toffees, and even pharmaceuticals. Industrial buyers typically pay premium prices, further intensifying competition in the market. Today, a sack of ginger sells between ₵3,500 and ₵4,000 — and surged to ₵5,000 during the last festive season. The Deputy Minister’s visit highlights government efforts to work closely with farmers, enhance production practices, and strengthen storage and distribution channels to stabilize supply and ease price pressures.

  Ghana’s cocoa sector is at a turning point. On February 11, 2026, Cabinet held an emergency meeting over deepening challenges in the cocoa industry — from falling global prices to mounting debts and liquidity crises at Ghana Cocoa Board (COCOBOD). Just months ago, farmers were earning GH¢58,000 per tonne after Ghana raised prices to prevent cocoa smuggling to Côte d’Ivoire, which had announced higher rates. But the global market turned. World cocoa prices have fallen sharply — from about US$7,200 per tonne to nearly US$4,100. That collapse has made Ghana’s cocoa uncompetitive and exposed deep financial weaknesses within COCOBOD.   What Went Wrong? • A projected 800,000-tonne crop in 2023/24 delivered just 432,145 tonnes — a shocking 45% shortfall. • Rollover contracts locked in at US$2,661 per tonne led to losses exceeding US$1 billion. • COCOBOD defaulted on obligations, including bridge financing from the Ministry of Finance. • The old syndicated loan model failed, leaving the sector dependent on buyer pre-financing. In a nutshell falling prices, debt, and liquidity shortages created a huge storm.   The Immediate Impact Effective February 12, 2026, the new producer price for the remainder of the 2025/26 season is: • GH¢41,392 per tonne • GH¢2,587 per bag The Producer Price Review Committee says farmers will now receive 90% of gross FOB (based on US$4,200), cushioning the blow from the market collapse.   The Big Reforms Government is not stopping at price adjustments. Cabinet has announced sweeping reforms: • A new COCOBOD Bill to automatically adjust producer prices based on world prices and exchange rates. • A shift from syndicated loans to domestic Cocoa Bonds to fund purchases. • Mandatory local processing — at least 50% of cocoa to be processed in Ghana from 2026/27. • Revival of Produce Buying Company (PBC) and Cocoa Processing Company (CPC). • Conversion of nearly GH¢5 billion in legacy debt to equity. • Transfer of GH¢4.35 billion cocoa roads liabilities to the Ministry of Roads. • Forensic audit and criminal investigations into the past eight years of COCOBOD operations. Why the Reforms Cocoa is Ghana’s economic backbone. These reforms aim to: • Protect farmer incomes • Restore COCOBOD’s balance sheet • Boost local processing and job creation • Reduce dependence on volatile global markets • Strengthen transparency and accountability The question now is not just about price cuts — it’s about whether these reforms can finally reset Ghana’s cocoa sector for long-term sustainability.