The Licensed Cocoa Buyers Association of Ghana (LCOBA) has thrown its support behind Government’s newly announced cocoa producer price, describing the adjustment as a necessary response to prevailing global market realities.
The revised price, which took effect on February 12, 2026, sets the producer price at GH¢2,587 per 64kg bag and GH¢41,392 per tonne.
The decision followed consultations among key industry stakeholders, the Ministry of Finance and the Ghana Cocoa Board (COCOBOD), aimed at safeguarding the financial sustainability of the cocoa sector amid fluctuating international prices.
In an interview, Mr Vitus Dzah, General Secretary of LCOBA, said the Association considered the new pricing structure a pragmatic alignment with global market trends rather than a disadvantage to local actors.
“We are moving with the market and moving with the times. The industry has to be saved, and we believe this is the way forward. The battle for a sustainable, transparent pricing mechanism has reached a point of resolution,” he said.
Mr Dzah explained that the newly announced Free-On-Board (FOB) price of 4,200 dollars per tonne represented a realistic benchmark within the constraints of the international cocoa trade.
According to him, Government’s decision to maintain the long-standing policy of allocating 90 per cent of the net FOB price to farmers demonstrates its continued commitment to producer welfare.
“By ensuring that farmers receive 90 per cent of the net price amounting to approximately GH¢2,587 per bag under the current structure the government is maintaining its commitment to the welfare of the producer while acknowledging the ceiling imposed by international buyers,” he said.
He noted that aligning the producer price with export values would help restore confidence across the cocoa value chain, particularly among Licensed Buying Companies (LBCs), which have faced liquidity constraints in recent months.
Mr Dzah said LCOBA had consistently raised concerns about the challenges LBCs encounter in accessing financing when domestic producer prices are disconnected from actual export earnings.
“The most important thing for our members is the stability of the system. When the price is aligned with the market, it allows for a smoother flow of funds from COCOBOD to the LBCs, and ultimately to the farmer’s pocket without the delays we have seen recently,” he said.
He indicated that the adjustment could ease pressure on internal cocoa marketing operations, improve cash flow within the supply chain and reduce bottlenecks that had previously affected timely payments to farmers.
Mr Dzah expressed optimism that the new pricing framework, coupled with efforts to strengthen domestic financing models for cocoa purchases, would help break the recurring cycle of debt that has weighed on the sector in recent years.
He further observed that Ghana’s policy of guaranteeing farmers 90 per cent of the net FOB price sets a regional benchmark for transparency and fairness in the cocoa trade.
“As an Association, we are committed to working closely with our members to ensure the immediate implementation of the new price across all buying centres nationwide,” he added.
Mr Dzah acknowledged that price volatility remained an inherent feature of the global cocoa market. However, he stressed that the long-term survival of Ghana’s cocoa industry would depend on collective resolve among government, regulators, buyers and farmers to embrace necessary adjustments in response to market dynamics.
He said the Association believed the latest price review represented a step toward restoring stability and sustainability within one of the country’s most important export sectors.
