Ghana’s cocoa sector is in crisis due to poor management and significant debt, with COCOBOD’s liabilities reaching 32 billion Cedis. Production has fallen nearly 50%, and revenue losses due to outdated contracts exceed US$840 million. The situation necessitates urgent reforms to sustain the sector’s viability and economic support.
Ghana’s Finance Minister, Dr. Cassiel Ato Forson, recently presented the 2025 Budget and Economic Policy, themed “Resetting Ghana for the economy we want,” to Parliament. He highlighted significant fiscal risks within the cocoa sector, stating that COCOBOD’s outstanding debt is currently at 32 billion Cedis. This sector, a historical cornerstone of the Ghanaian economy, is in decline due to mismanagement, failing to support economic needs despite high global market prices.
The cocoa sector in Ghana is facing severe challenges, highlighted by substantial debt, a drastic decline in production, and unsustainable financial practices. Urgent reforms are necessary to address these issues, restore stability, and ensure the future viability of the industry. Effective measures taken now will be crucial in securing the cocoa sector’s essential role in Ghana’s agricultural economy.
Original Source: www.gbcghanaonline.com
