top of page
Writer's picture Think News Online

COCOBOD announces zero-borrowing model for cocoa sector

The Chief Executive Officer (CEO) of the Ghana Cocoa Board (COCOBOD), Joseph Boahen Aidoo, has revealed the board’s bold new plan to go zero borrowing for the 2024/2025 cocoa season.


This groundbreaking shift, which aims to eliminate reliance on external loans, marks a significant departure from the traditional syndication loan model used by COCOBOD for over three decades.


Speaking to journalists in Accra on Monday, Mr. Aidoo explained that the zero-borrowing strategy is part of a broader financial innovation designed to reduce the cost of borrowing and streamline cocoa financing.


"The financing arrangement being pursued now is a homegrown model, and so far, so good," he stated.


Under this model, international buyers will pay directly into the Cocoa Marketing Company’s account on behalf of COCOBOD, effectively bypassing the previous need for overseas syndication loans, which have become increasingly expensive.


"We are unburdened with any interest and ancillary costs, which significantly reduces the financial pressure on the industry," he added.


Innovations in Cocoa Farming: Productivity Enhancement and Harm Pollination Beyond financing, Mr. Aidoo highlighted several achievements in cocoa productivity, driven by innovative strategies introduced under the current administration.


One such initiative is the Productivity Enhancement Program (PEP), which has transformed cocoa yields across the country.


"Before this administration, only 5% of farmers practiced pruning, despite its known benefits. Today, pruning has become a standard practice, increasing productivity from 450 kg per hectare in 2016 to the current 800 kg per hectare," he noted.


Pruning has improved airflow, sunlight exposure, and overall tree health, leading to better flower development and pod formation while reducing pest and disease spread.


It also contributes to soil enrichment by adding biomass.


According to the COCOBOD CEO, these interventions have allowed some farmers to achieve yields as high as 6.7 tons per hectare, a feat once thought impossible in Ghana.


"We now have farmers producing up to 1,000 fruits per tree, with some even registering over 3,000 fruits through harm pollination in the Western Region," he proudly remarked.


Hand Pollination: A Game-Changer for Cocoa Productivity Another significant breakthrough has been the introduction of hand pollination, a technique that compensates for the natural shortage of insect pollinators in cocoa farms.


This intervention began in 2018 with the deployment of 10,000 trained youth to teach farmers the technique, and it has since expanded to include 30,000 farm crews across Ghana.


"Hand pollination has enabled farmers to push their productivity to new heights, with some achieving 4,000 kg per hectare," Mr. Aidoo stated, adding that the initiative has also created jobs for thousands of young people in rural areas.


Digitalization and Sustainability In addition to farming innovations, COCOBOD has embraced digitalization and sustainability measures to modernize the sector.


Mr. Aidoo emphasized that the board has put in place a comprehensive integrated farmer database and is aligning with international sustainability protocols, including the European Union’s Deforestation-Free Regulation.


"We are committed to ensuring that Ghana's cocoa production is not only profitable but also sustainable," he affirmed.


Mr. Joseph Boahen Aidoo reiterated COCOBOD's commitment to transforming the cocoa industry through innovation, financial independence, and sustainable practices, positioning Ghana as a leader in global cocoa production.


Story by: Joshua Kwabena Smith

0 comments

Recent Posts

See All

Comentarios


bottom of page