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Business News of Tuesday, 25 August 2020


Ghana negotiates with Ivory Coast to revamp cocoa industry

Vice President of Ghana,  Dr Mahamudu Bawumia play videoVice President of Ghana, Dr Mahamudu Bawumia

The cocoa sector has been the backbone of Ghana's economy since ages until oil was discovered. In recent times, the cocoa sector has witnessed a sharp decline in both production and revenue.

To help the cocoa sector to stand on its feet again, Vice President Dr. Mahamudu Bawumia has said government has negotiated with its neighbouring country, Ivory Coast to provide a living income differential of 400 dollars per metric tonne for cocoa farmers.

This agreement, the Vice President said, will commence in the next cocoa season, October.

“Cocoa industry has faced some challenges. I think that there’s no doubt at all that the output is not as high as we have…people replacing cocoa with other crops, disease and so on but we expect what we have done is to negotiate a living income differential for cocoa farmers. We did with Ivory Coast to pay an additional bonus or income differential of 400 dollars per metric tonne to every cocoa farmer.

“It will start in October, this cocoa season. Once this starts, I think it is going to inject lot of energy into the cocoa sector and it should help the industry.”.

The Ivory Coast-Ghana Cocoa initiative will promote cocoa products on the global market.

This will also check the smuggling of cocoa from its borders.

Meanwhile, cocoa-buying companies are searching for new ways to deliver greater benefits to farmers while improving efficiency, sustainability, and transparency in their cocoa procurement.