Ghana's cocoa exports value slumps to 26.9% in second quarter of 2024
Accra, Ghana - Ghana's cocoa export values have taken a significant hit, declining 26.9% year-over-year to GH₵ 1.15 billion in the second quarter of 2024, data from the Ghana Statistical Service reveals.
This downturn marks the fifth consecutive quarterly drop in cocoa bean exports, with a staggering 80% decline from the first quarter of 2024, translating to a GH₵ 4 billion loss.
Ghana's cocoa production has also been severely impacted, with output reaching only 429,323 metric tons by June 2024, barely half the average production of previous years.
The global cocoa market is experiencing a four-year supply deficit, driven by poor harvests in Ghana and Ivory Coast, resulting in higher prices. However, Ghana's failure to capitalize on this trend is attributed to widespread smuggling.
Farmers have been selling to trafficking rings due to low local prices and payment delays, leading to a loss of over 160,000 metric tons of cocoa, roughly one-third of Ghana's 2023/24 output.
To combat smuggling, Cocobod has raised the farm gate price by 45% for the 2024/25 season to GH₵ 3,000 per 64-kilogram bag.
The move aims to stem smuggling, but its success hinges on regional pricing strategies. Ghana's cocoa industry faces challenges from production shortfalls to market dynamics and smuggling.
Source :Lead News Online
