Ghana moves to lock in 70% export value for cocoa farmers under sweeping sector overhaul

Ghana’s government is preparing the most significant overhaul of the cocoa sector in decades, with plans to legislate a guarantee that cocoa farmers receive no less than 70 per cent of the gross Free-on-Board (FOB) export price, marking a decisive shift towards a more market-responsive pricing regime.

The proposed COCOBOD Bill, announced by Finance Minister Dr Cassiel Ato Forson during the 2026 Mid-Year Budget Review, will repeal and replace the Ghana Cocoa Board Act of 1984. The legislation is intended to modernise governance of the sector, strengthen COCOBOD’s finances and align producer prices more closely with international cocoa prices, exchange-rate up movements and other market conditions.

For cocoa farmers, the centrepiece of the reform is the statutory guarantee that they will receive at least 70 per cent of the export value of their produce. The move seeks to provide greater income certainty following years of volatility in global cocoa markets and concerns over delayed payments and financial pressures within the sector.

The legislation also aims to reshape Ghana’s cocoa value chain by requiring that no less than 50 per cent of cocoa beans produced domestically be processed within the country. The policy is expected to encourage investment in local processing, expand value addition and create higher-skilled jobs while reducing Ghana’s reliance on raw bean exports.

Alongside the pricing reforms, the Bill will introduce a new financing framework for cocoa purchases and related operations, an effort the government says is necessary to restore COCOBOD’s long-term financial sustainability and improve operational efficiency after years of mounting financial strain.

If enacted, the reforms would represent one of the most far-reaching changes to Ghana’s cocoa industry in over four decades, embedding a legal minimum producer share of export earnings while repositioning the sector towards greater transparency, stronger farmer incentives and increased domestic industrialisation.