INSUBCONTINENT EXCLUSIVE:
much-needed relief to a global market grappling with supply shortages and record-high prices.Between the start of the season and February
13, Ghana delivered approximately 560,250 tons of cocoa beans to warehouses, a sharp rise from the 330,000 tons during the same period last
year, according to sources familiar with the Ghana Cocoa Board (Cocobod).This surge follows a challenging 2023-24 season when production
dropped to just 480,000 tons, one of the lowest outputs in two decades
Despite this rebound, Ghana has revised its forecast for this season downward to under 620,000 tons due to lingering concerns over weather
The rise in production is partly attributed to measures aimed at curbing smuggling.Ghana increased farm gate prices twice in late 2024 to
Soars 70%, Offering Relief Amid Record Prices
(Photo Internet reproduction)These adjustments have reduced illicit trade and ensured more beans enter official channels
However, smuggling remains a challenge as neighboring countries continue offering higher rates.Cocoa Price SurgeCocoa prices hit historic
highs in 2024 due to poor harvests in both Ghana and Ivory Coast, which together account for over 60% of global production
benefit fully from the price surge due to forward sales agreements and rising costs
Cocobod raised farm gate prices by 58% in April and another 45% in September 2024, bringing payments to $8,000 per ton
Yet these increases lag behind international market rates.The global market continues monitoring West African supplies closely as high
prices complicate forward sales for traders
temporary relief to global markets, long-term sustainability will require addressing systemic issues affecting farmers and production
