By: Ashiadey Dotse
The Ghana Cocoa Board (COCOBOD) has released about GH¢4.2 billion to Licensed Buying Companies (LBCs) to pay cocoa farmers who have been owed since November last year.
The payment is part of efforts to clear outstanding arrears in the cocoa sector and restore confidence among farmers and other players in the industry.
The move follows reforms announced last month by the Finance Minister, Cassiel Ato Forson, aimed at restructuring the cocoa sector and addressing debts owed to farmers and other stakeholders in the value chain.
Head of Public Affairs at COCOBOD, Jerome Sam, says the institution is working to ensure that all payments owed to cocoa farmers are cleared before the end of the 2025/2026 cocoa season, expected around August.
He explained that the GH¢4.2 billion had already been released to the Licensed Buying Companies as of last week to enable them to pay farmers.
According to him, while some farmers are still waiting for payment, others have already been paid because some Licensed Buying Companies used their own funds to pre-finance cocoa purchases when COCOBOD faced challenges with its syndicated loan.
Jerome Sam noted that COCOBOD later reimburses the companies for those purchases.
He said the board is working to ensure that all monies owed to the Licensed Buying Companies are paid so they can also settle any outstanding debts with cocoa farmers.
Mr. Sam added that COCOBOD remains focused on improving liquidity within the cocoa purchasing system to ensure prompt payments to farmers and sustain cocoa production across the country.
He expressed hope that all outstanding payments will be completed before the close of the cocoa season, expected around August or September.
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Source:
www.gbcghanaonline.com