In a bold economic move set to ripple through the global cocoa industry, Ghana has raised the producer price of cocoa by over 60%, from $3,100 to $5,040 per tonne, ahead of the 2025–2026 farming season. The increase marks a 62.58% jump and is expected to raise global cocoa prices further while putting pressure on fellow cocoa powerhouse, Ivory Coast.
Announced by Ghana’s Finance Minister Cassiel Ato Forson at a press conference in Accra on Monday, the move signals the government’s renewed commitment to prioritising farmers’ welfare and ensuring they receive a larger share of cocoa export revenues.
“The cocoa farmer remains a critical pillar of our economy, and this government is committed to ensuring they benefit from the gains we are making,” Forson said.
Ghana Sets the Pace in Cocoa Pricing
Ghana, the world’s second-largest cocoa producer, typically announces its prices before Ivory Coast, which leads global output. Currently, the Ivorian government is paying farmers 2,200 CFA francs per kilogram (approximately $3,900 per tonne). Ghana’s new benchmark is expected to challenge Ivory Coast to respond with a similar adjustment or risk losing farmer loyalty and output to neighbouring markets.
This increase fulfills part of President John Mahama’s campaign promise to raise farmers’ earnings to at least 70% of the Free-On-Board (FOB) price — the export value of cocoa at the shipping point. Ghanaian farmers were previously earning 63.9% of the FOB rate, receiving $3,100 out of a $4,850 per tonne FOB value in the 2024–2025 season.
The global FOB price has now risen to $7,200, factoring in both older contracts signed at lower rates and recent projections amid tightening global supply chains.
Economic and Environmental Impact
Forson attributed the price increase not only to rising global prices but also to strengthening macroeconomic conditions, including a more stable Ghanaian cedi and easing inflation.
While the increase is widely seen as a victory for cocoa farmers, analysts warn that it could further fuel inflation in cocoa-importing countries and increase price volatility across the chocolate supply chain.
For years, Ghana’s state-controlled pricing system has aimed to cushion farmers during market downturns, but critics argue it failed to reflect recent global price surges, leading some farmers to abandon cocoa farming for illegal mining, contributing to environmental degradation and reduced productivity.
Reintroducing Support for Farmers
To boost yields and sustain farmer engagement, Forson also announced the reintroduction of the free fertiliser programme, which includes fertilisers, pesticides, fungicides, flower inducers, and spraying machines — all aimed at increasing farm productivity and improving livelihoods.
The move is also part of a broader push by West African governments to restructure cocoa’s global value chain, which historically left farmers with only a small fraction of the final product’s retail price.
Industry observers say Ghana’s pricing decision could set the tone for cocoa negotiations across the region and may compel private sector buyers to reassess profit-sharing models and procurement contracts.
As the world’s appetite for chocolate continues to grow, Ghana’s bold stance could mark a turning point in efforts to secure fairer compensation for the continent’s cocoa farmers, who remain the backbone of a billion-dollar global industry.
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