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The Ghana Cocoa Board (COCOBOD) has increased the producer price of cocoa from GH¢41,392 per tonne to GH¢42,400 per tonne for the 2026/27 crop season, representing 71.18 percent of the realised gross Free-On-Board (FOB) price under the newly enacted Ghana Cocoa Board Act, 2026 (Act 1182).
The revised price translates into GH¢2,650 per 64kg bag of cocoa and took effect on Friday, September 25, 2026, when COCOBOD officially declared the new cocoa season open.
Announcing the new producer price at a media briefing in Accra, COCOBOD Chief Executive Officer Dr. Randy Abbey said the decision followed consultations with key stakeholders, including the Ministry of Finance, cocoa farmers, licensed buying companies, wholesalers and processors.
“COCOBOD and all key stakeholders have approved that the producer price of cocoa be increased from GH¢41,392 per tonne to GH¢42,400 per tonne for the 2026/27 cocoa season,” he stated.
The price announcement is the first major implementation of the Ghana Cocoa Board Act, 2026, which introduces sweeping reforms aimed at strengthening the governance, sustainability and financial health of the cocoa sector.
Among its key provisions, the law guarantees cocoa farmers a minimum of 70 percent of the realised gross FOB price, strengthens protection of cocoa farms from illegal mining activities, prohibits COCOBOD from undertaking quasi-fiscal activities and establishes a new financing framework to support domestic value addition.
According to the CEO, the reforms are designed to improve farmer incomes, strengthen the sector’s institutional foundations and place the industry on a sustainable growth trajectory.
He noted that logistics and operational preparations for the new crop season have been completed to ensure a smooth start.
Beyond the producer price increase, COCOBOD said it would continue implementing productivity-enhancement interventions aimed at reducing production costs and boosting yields.
The programmes include the distribution of free fertiliser, hybrid cocoa seedlings and the continuation of the Cocoa Disease and Pest Control Programme.
Dr. Abbey said the interventions are expected to improve farm productivity and increase incomes for cocoa farmers while supporting government’s vision of a resilient and sustainable cocoa industry.
The latest price adjustment further widens the price gap between Ghana and neighbouring Côte d’Ivoire, raising concerns about potential cross-border smuggling.
Responding to questions from journalists, Dr. Abbey acknowledged the challenge but insisted that Ghana must comply with its new legal framework.
He explained that while Ghana and Côte d’Ivoire remain committed to harmonising cocoa sector policies, differences in their pricing systems continue to create disparities.
“Harmonisation is a process; it is not an event,” he said, adding that both countries are continuing discussions through technical and policy-level engagements.
According to him, Ghana’s legislation requires payment of at least 70 percent of realised gross FOB prices to farmers, while Côte d’Ivoire operates a different pricing formula based on a percentage of CIF values.
He stressed that COCOBOD could not ignore the provisions of Ghana’s new law simply to match prices in Côte d’Ivoire.
At the same time, he revealed that security agencies in both countries would continue collaborating to combat cocoa smuggling and other cross-border trade violations.
COCOBOD also announced the full deployment of the Ghana Cocoa Traceability System across all cocoa-growing regions.
The board said the system positions Ghana to comply with the European Union Deforestation Regulation (EUDR), which takes effect from December 30, 2026.
Dr. Abbey said the platform will enable Ghana to supply cocoa that is traceable, deforestation-free, child labour-free and legally produced, while enhancing transparency across the value chain.
He described the initiative as critical to safeguarding access to premium international markets, particularly in Europe.
On financing for the new season, the CEO disclosed that COCOBOD’s Special Purpose Vehicle (SPV) programme is progressing steadily and is expected to mobilise the resources required for the 2026/27 crop year.
The SPV, chaired by Association of Banks in Ghana President John Awuah, includes representatives from the Ministry of Finance and other financial governance institutions, while KPMG serves as manager.
According to COCOBOD, the Securities and Exchange Commission has approved the framework and arrangements are underway to raise funds through a GH¢14 billion commercial paper programme and an initial GH¢2.3 billion five-year bond issuance.
The funding mechanism forms part of broader efforts to reduce COCOBOD’s reliance on traditional syndicated loans while supporting sector reforms and domestic processing.
The board reaffirmed government’s commitment to increasing domestic cocoa processing and value addition.
Dr. Abbey said ongoing discussions with local processors are focused on ensuring adequate bean supply and addressing broader challenges confronting the industry, including issues requiring engagement with the Ministries of Trade, Finance and Energy.
He added that new financing arrangements under the Cocoa Board Act would allow processors to use their own contracts as collateral, creating greater opportunities for participation in the sector.
COCOBOD disclosed that Ghana ended the 2025/26 season with cocoa production of approximately 750,000 metric tonnes and is targeting further growth in the years ahead.
The board maintained that all margins and fees applicable to other stakeholders in the cocoa supply chain, including buyers’ margins, hauliers’ rates, warehousing fees and internal marketing costs, would remain unchanged for the new season.
Declaring the season officially open, Dr. Abbey called on farmers, traditional authorities, licensed buying companies, security agencies and cocoa-growing communities to support efforts to protect Ghana’s cocoa industry and ensure its long-term sustainability.
“The reviewed producer price and applicable margins and rates for the 2026/27 crop year shall take effect from today,” he said. “On behalf of all stakeholders, I hereby declare the 2026/27 cocoa season duly opened.”
Source: businesspostonline
