COCOBOD loses $2.2 billion

pulse-ghana admin

June 12, 2017 2:11 PM

COCOBOD has been hit by a big blow with recent price decline in global cost of cocoa

___6823739___https:______static.pulse.com.gh___webservice___escenic___binary___6823739___2017___6___12___16___file6vcccuj5zwxu2ap152e

Ghana Cocoa Board (COCOBOD), the country’s cocoa regulator has accrued debt to the tune of 10 billion cedis ($2.2 billion) having missed production target the previous year.

Having fallen short from an earmarked 850,000 tons to 778,000 metric tons of beans in the 2015-16 fiscal year, the PRO of COCOBOD says the Board has accrued a lot of debt.

In this current season, due to the slump of prices of cocoa that decreased than one-third of prices in the middle of the past year, the board has lost $1 billion in revenue.

According Mr. Amenyah, the losses are in part as a result of an overspending the board did, using more the original budgeted $150 million on roads in cocoa-growing areas by almost five times.

The Board was hoping to if the price was kept stable, those debts could be recovered. Unfortunately, the cost of cocoa has gone downhill.

READ ALSO: Opuni-led COCOBOD owed GHC10bn

Cocoa delivery has risen by 0.3% according to the latest data from ICE Futures U.S and has amounted to a 6.4 percent decline in cocoa prices. Inspite of incline in prices, the board says it has no plans on cutting down on farmer’s pays.

Enhance Your Pulse News Experience!

Get rewards worth up to $20 when selected to participate in our exclusive focus group. Your input will help us to make informed decisions that align with your needs and preferences.

I've got feedback!

pulse-ghana admin