The Chief Executive of COCOBOD, Joseph Boahen Aidoo says without government subsidy, Ghana’s cocoa sector would have difficulty financing its core activities.
Speaking at the 80th anniversary launch of the Cocoa Research Institute in Accra, Mr. Aidoo said government’s support has become critical due to the declining price of cocoa on the world market.
He said though Ghana is the second largest producer of cocoa in the world, the country struggles to meet its obligation to farmers as well as the sector’s development.
The cocoa sector, according to the CEO, has been compelled to cut down on a lot of its core operational cost due to the low revenue from cocoa as a result of low cocoa prices globally.
He expressed concern that the sector spends a huge amount of dollars to ensure quality yet the fall of prices of the commodity on the world market does not influence the prices at which government buys from the producers.
He said COCOBOD is in talks with government to cushion the sector.
The Cocoa Research Institute of Ghana conducts research into the development of by-products of cocoa and other crops such as cashew with the aim of generating income for farmers.