IERPP questions GH¢2,500 Cocoa price despite reported US$3.86bn export earnings, GH¢5.11bn COCOBOD revenue

The Institute of Economic Research and Public Policy (IERPP) is calling for transparency over the discrepancy between Ghana's booming cocoa export earnings and the low producer price given to farmers. In a recent press release, IERPP's Executive Director, Prof. Isaac Boadi, highlighted that cocoa export earnings in 2025 surged by 99.2% to US$3.86 billion, up from US$1.94 billion in 2024.

The real average price for cocoa also jumped by 32.4% from US$4,440 to US$5,877.40 per tonne. When converted to Ghanaian cedis using Bank of Ghana exchange rates, export earnings increased by GH¢13.48 billion or 47.3%. However, despite this substantial rise in international prices, the IERPP questions why cocoa farmers are still only receiving GH¢2,500 per bag.

The think tank argues that the exchange rate cannot justify this producer price, estimating that a 32.4% increase on the previous GH¢3,100 producer price would mean farmers should be getting about GH¢4,104 per bag. Even using a GH¢3,500 producer price as a baseline, a 32.4% increase would result in approximately GH¢4,634 per bag – an increase of more than GH¢2,100 over the current price.

The IERPP acknowledges that export earnings and international prices don't directly dictate the farmgate price, but asserts that factors like financing costs, processing, transport, marketing, and COCOBOD's operational expenses must be transparently accounted for. The Institute notes that the situation becomes particularly urgent considering COCOBOD's reported GH¢5.11 billion in earnings.

They are urging the government and COCOBOD to release a detailed breakdown of export earnings, international cocoa prices, exchange-rate impacts, COCOBOD revenues and expenditures, producer price calculations, farmer payments, and the distribution of value within the cocoa supply chain. The IERPP insists that Ghana's cocoa farmers are seeking more than just political arguments; they are demanding clear mathematics and a thorough explanation of where the money is going.