Chamber Of Cocoa Marketers Launched

Randy Abbey, the Chief Executive Officer of the Ghana Cocoa Board (COCOBOD), has officially launched the Chamber of Cocoa Marketers. The new organization aims to foster collaboration among stakeholders in the cocoa sector and revolutionize the financing model to improve liquidity for cocoa purchases and encourage local processors to add value to raw materials.

Speaking at the launch in Accra, Abbey emphasized that the current financing structure, which requires large portions of cocoa production to be used as collateral, hampers the ability of local companies to participate fully in cocoa processing and diminishes the potential for revenue maximization within the sector. He described the formation of the Chamber as a critical step towards strengthening partnerships among various stakeholders in the cocoa industry.

Acknowledging that Ghana possesses the capacity to generate significantly higher revenues from cocoa, Abbey highlighted the need for reforms in financing, pricing, and value addition. He questioned the feasibility of boosting local processing capabilities if domestic processors are unable to secure sufficient cocoa beans due to existing funding arrangements.

To address these issues, COCOBOD is introducing a new financing mechanism that will support cocoa purchases throughout the year, prevent delays in payments to Licensed Buying Companies (LBCs), enhance purchasing efficiency, reduce debt, and enhance profitability throughout the value chain. Additionally, Abbey called for the development of a new cocoa pricing mechanism that would benefit all stakeholders, including farmers, during international price fluctuations.

Interim President of the Chamber of Cocoa Marketers, Samuel Adimado, described the launch as a historic moment that transformed the Licensed Cocoa Buyers Association of Ghana (LICOBAG) into a more structured institution capable of influencing policies and promoting reforms within the cocoa sector. Adimado stressed that transitioning into a standard-driven and policy-influential body was crucial for addressing emerging challenges, rather than continuing to function as a reactive advocacy association.

Adimado also expressed gratitude to stakeholders for their support in establishing the Chamber and urged continued collaboration to ensure its effective role within Ghana's cocoa value chain.