The authority responsible for producer price of cocoa beans in the country has sent a strong response to the International Monetary Fund (IMF) saying it will not reduce prices of cocoa in the country as being directed.
COCOBOD’s last producer price review for the year 2016/2017 season was from GH¢ 6,670 per tonne to GH¢7, 520.
But according to the IMF, a reduction is needed this time around to reflect the changes in cocoa price on the international market.
According to the IMF, it has become critical for government to reduce the producer price of cocoa to ensure that the Ghana Cocoa Board (COCOBOD’s) current funding gap of GH¢1 billion does not expand.
But the Manager at the Office of the Chief Executive Officer (CEO) of COCOBOD Mr Fiifi Boafo in an interview with GBC’s Behind the News programme monitored said COCOBOD is taking the firm decision in order to help farmers in the country.
“COCOBOD has resolved to this because of a number of reasons. The cocoa farmer is already not in a vantage position condition so any further reduction will worsen the condition”. Mr Fiifi Boafo explained.
“If you look at the productivity of the Ghanaian farmer per head it is low, this means that the income of that farmers is low. Beyond that, cocoa is already in competition with others in the use of land, for example ‘galamsey’. He added.
Apart from COCOBOD not reducing prices of cocoa, he stressed that there is a huge influence from government who put up the petition that the contribution of cocoa farmers to the development of the country for the past years has been quiet huge and therefore cannot afford to reduce the producer price.
“So persons who have made such contribution towards the country at a point where the country has to sacrifice for them, then there is a need to make that sacrifice for the benefit of the people who have contributed to the country’s building over the years”. COCOBOD quoted government to have said.
COCOBOD is also saying it cannot guarantee what may happen in the days ahead whether it can maintain the prices or not.
