Government has increased cocoa producer price by 62.58% in US dollar terms, raising cocoa payments from US$3,100 per tonne to US$5,040 per tonne for the 2025/2026 season.

Dr Ato Forson announced the price increase following a meeting of the Producer Price Review Committee on Cocoa, which he chairs. 

The new pricing takes effect on Thursday, August 7, 2025, when the cocoa season opens.

The increased producer price represents 70% of the gross Free-On-Board value of $7,200 per tonne, fulfilling President Mahama’s campaign promise to pay cocoa farmers 70% of the FOB price. 

This marks a substantial improvement from the previous administration’s pricing structure.

“For the 2024/25 cocoa season, the previous NPP administration set an FOB value of US$4,850 per tonne of cocoa, and the producer price at US$3,100, representing 63.9% of FOB, even though the world market price at the time was much better,” Dr Forson stated.

In local currency terms, using an average exchange rate of GHS10.25 to the US dollar for the 2025/2026 crop season, the producer price increases from GHS49,600 per tonne to GHS51,660 per tonne.

This translates to GHS3,228.75 per bag of 64-kilogram gross weight of cocoa for farmers.

The gross FOB value calculation incorporates outstanding cocoa contracts of about 100,000 tonnes sold at US$2,600 per tonne in the 2023/2024 crop season, combined with average forecasts for the upcoming 2025/2026 crop season.

The price adjustment demonstrates the government’s commitment to improving farmer incomes and aligning Ghana’s cocoa pricing with international market values.

The decision comes as cocoa farmers have long advocated for better compensation reflecting global commodity prices.

The announcement provides farmers with advance notice of pricing before the season begins, allowing them to plan their operations and investments accordingly. 

The new pricing structure represents one of the most substantial increases in cocoa producer prices in recent years, delivering on a key campaign promise from President Mahama’s administration.

Richard Aniagyei, ISD