The recent passage of the Ghana Cocoa Board Bill brings significant reforms to the nation’s cocoa sector, ensuring that cocoa farmers receive a minimum of 70 per cent of the Free on Board (FOB) export price, as set by the Ghana Cocoa Board (COCOBOD)
During the presentation of the Bill’s objectives in Parliament on Thursday, July 30, Deputy Finance Minister Thomas Nyarko Ampem articulated that the legislation aims to establish COCOBOD as the official body responsible for regulating, overseeing, and monitoring all activities within the cocoa value chain.
Ampem emphasised that the Bill mandates COCOBOD to support cocoa cultivation, manage the buying, selling, and exporting of cocoa, and promote value addition within the sector. Additionally, the legislation outlines a clear legal framework for the Producer Price Review Committee and its associated technical structures, thereby strengthening the process for determining producer prices.
“This bill introduces a new funding model that enables COCOBOD to source financial resources locally for purchasing cocoa beans from our dedicated farmers. It establishes new arrangements to ensure that beans are accessible for our local processing companies. Importantly, 70% of the FOB price will go directly to the farmers, and the bill is committed to protecting our cocoa farms and the environment,” he stated.
The legislation also seeks to address longstanding challenges surrounding compliance and enforcement within the cocoa sector by providing statutory backing for various regulatory functions that have previously operated under administrative guidelines. These regulations will include standards for disinfestation procedures, quality inspections, service charges, cocoa take-over processes, and certification requirements, all of which will gain stronger legal enforcement.
Moreover, the Bill resolves governance and oversight inconsistencies that have historically caused COCOBOD to shift between different supervising ministries. It officially places COCOBOD under the supervision of the Ministry of Finance, reflecting the government’s directive from March 2025 to transition oversight from the Ministry of Food and Agriculture.
Furthermore, the Bill aims to foster an enabling environment for public-private partnerships and enhance local value addition by promoting collaboration with both domestic and international partners, including initiatives with the European Union, the World Cocoa Foundation, and the Côte d’Ivoire-Ghana Cocoa Initiative.
Lastly, it introduces regulatory flexibility to benefit small-scale chocolatiers and cocoa by-product manufacturers, addressing operational barriers that have previously hindered domestic processing and innovation. This comprehensive reform is a step forward in strengthening Ghana’s cocoa industry and supporting its farmers.
