The Ghanaian government has assured cocoa farmers that their interests will be protected. This promise comes despite projections of a sharp fall in global cocoa prices. Dr. Sammy Ayeh, a presidential aide, stated this on JoyNews AM Show. He noted that farmers are aware of the current global price reductions. He spoke on Friday, May 1, 2026.
Global cocoa prices are expected to slump by more than 50 per cent. The World Bank forecasts prices to fall from about US$7.80 per kilogramme in 2025. It could reach around US$3.80 per kilogramme in 2026. This drop is largely due to a recovery in global supply. Recent shortages had driven prices up.
This situation fits into Ghana's wider economic story. Cocoa is a vital export commodity for Ghana. The country is one of the world's top cocoa producers. Global price volatility directly impacts farmer earnings and government revenue. Recent years saw price spikes due to supply issues in West Africa. Ghana aims to increase its share of global cocoa processing. This strategy is part of a long-term plan to add economic value.
Dr. Ayeh reiterated the government's commitment. "The President has indicated that cocoa farmers deserve 70 per cent of the FOB price," he said. The FOB price is the cost of the cocoa beans at the port of export. He mentioned that recent pricing structures gave farmers nearly 90 per cent. Steps are being taken to legally secure this farmer share. The Cocoa Board Act will be amended. This aims to make the 70 per cent farmer share automatic. He expressed optimism despite the projections.
The implications of these actions are significant for Ghana's agricultural sector. Increasing local processing is crucial. Ghana and Côte d'Ivoire produce most of the world's cocoa. Yet, they control little of the final price setting. The President directed 50 per cent of Ghana's cocoa output to be processed locally. This move aims to boost value addition. It will strengthen Ghana's bargaining power. It can improve earnings from cocoa exports. Adding value increases product worth. It enhances our ability to influence processed cocoa pricing. This focus on value addition could cushion the impact of falling global prices. Long-term returns for farmers may thus improve.