Cocoa buyers agree to Ghana, Ivory Coast proposed price

Ghana and Ivory Coast account for nearly two-thirds of global output, yet they have little influence over international cocoa prices.
Cocoa buyers agree to Ghana, Ivory Coast proposed price

Buyers of Ghana and Ivory Coast cocoa agreed on Wednesday to a minimum price of $2,600 per tonne, as proposed by the two governments to address a perceived imbalance between farmers’ incomes and money made by big commodities traders.

The two countries account for nearly two-thirds of global output, yet they exert limited influence over international cocoa prices, which have stayed low in recent years due to over-production. 

Representatives from across the industry met in Ghana’s capital, Accra this week to discuss a common floor price for cocoa beans produced in Ghana and Ivory Coast that would protect farmers’ livelihoods.

Realated: Mosquirix vaccine is helping the fight against malaria in Ghana

Your Friends Also Read:  eWaka Launches Program to Make Transportation in Africa Easier

Traders, manufacturers, and processors agreed to the proposed floor price of $2,600 per tonne, but requested a technical meeting on July 3 to address details of its implementation, the Ghanaian and Ivorian agriculture ministries said. 

“This is a historic meeting during which suppliers and buyers have engaged and agreed on a price below which the producers will not sell”, according to the Chief Executive of Ghana’s Cocobod, Joseph Aidoo. 

His Ivorian counterpart, Yves Kone, says: “We arrived at a consensus and everyone agrees that the producers are not well remunerated and that something must be done to improve the conditions of producers”. 

Cocoa buyers agree to Ghana, Ivory Coast proposed price

Ghana and Ivory Coast earlier on Wednesday suspended forward sales of cocoa beans for the 2020/21 season until an agreement was reached on the floor price. 

Your Friends Also Read:  Alibaba, Ethiopia sign Electronic World Trade Platform MoU

Realated: Using drones to provide life-saving medication in Ghana

This suspension will remain in place while they implement the floor price, according to the ministries’ statement.

The two countries agreed to harmonize their sales system earlier this year in an effort to exert more influence on international prices. 

They have sought a minimum price for the main crop, calling for sales contracts below this threshold to be compensated by a living income differential.

Realated: Guilt-free Chocolate from Ivory Coast

All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express written permission from News Central TV.
Your Friends Also Read:  NiDCOM Congratulates Nigeria's Adeyemo on Nomination as U.S. Deputy Treasury Secretary



Leave a Reply

Related Posts