The Ghana Cocoa Board (COCOBOD) has announced plans to introduce a new funding model for cocoa purchases aimed at promoting value addition and reducing reliance on the export of raw cocoa beans.
Chief Executive Officer of COCOBOD, Randy Abbey, disclosed this during a media briefing on Friday, February 6, stating that the proposed financing arrangement would move away from structures that require the collateralisation of raw cocoa beans.
According to Mr. Abbey, the new model is designed to give the cocoa regulator greater flexibility to support local processing and industrialisation within the cocoa sector.
“We are looking at a model that does not tie our hands with respect to the collateralisation of the raw bean, because we want a funding model that also facilitates or supports value addition,” he said.
He stressed that any financing framework that restricts COCOBOD’s ability to prioritise value addition would not be considered under the new arrangement.
Mr. Abbey revealed that consultations on the proposed funding approach are ongoing and assured stakeholders that full details would be made public once a final decision is reached.
“The full details will be made known, but obviously, this is on top of the agenda,” he noted.
The COCOBOD CEO also acknowledged mounting concerns among cocoa farmers regarding delays in payments, describing the situation as complex and challenging.
He assured that COCOBOD, in collaboration with the government and the Ministry of Finance, is actively working to resolve the payment challenges affecting farmers.
“We can appreciate the concerns, the pain, the apprehensions, and the confusion as far as our dear farmers are concerned,” Mr. Abbey said, appealing for patience while authorities work towards a sustainable solution that benefits all stakeholders, particularly farmers.
Mr. Abbey’s remarks come at a time when the Minority Caucus in Parliament has intensified pressure on the government and COCOBOD to settle outstanding payments exceeding GH¢10 billion owed to cocoa farmers and Licensed Buying Companies (LBCs).
Speaking to journalists on Thursday, February 5, Ranking Member on Parliament’s Food, Agriculture and Cocoa Affairs Committee, Isaac Yaw Opoku, stated that cocoa farmers have not received payments for cocoa beans supplied on credit since November 2025.
He warned that the delays have worsened farmers’ living conditions and pose a significant threat to the stability of Ghana’s cocoa industry and the broader economy.
Mr. Opoku further called on COCOBOD to reimburse all outstanding cocoa taken-over receipts owed to LBCs and ensure prompt payments for future deliveries to prevent a recurrence of the current crisis.
