A member of the Communications Team of the New Patriotic Party (NPP), Yaw Opoku Mensah, has reacted strongly to the government’s recent reduction of cocoa producer prices, warning farmers not to rely on the administration to safeguard their interests. He insists the challenges facing farmers are the result of mismanagement rather than global market forces.

Commenting on the move, and referencing Ghana’s fifth review under the International Monetary Fund’s Extended Credit Facility (ECF) programme, Opoku Mensah said the report shows there is no production or financial crisis in the cocoa sector. “The IMF’s 5th ECF review makes one thing crystal clear: there is no production crisis and no financial crisis in Ghana’s cocoa sector. Prospects are positive. Output is rising. Cash flow is balanced. International prices remain high,” he stated.

According to him, when the fundamentals are strong and farmers are still struggling, the issue cannot be external factors. “The problem is sheer incompetence in management,” he said, questioning why Ghanaian farmers are not benefitting from high global cocoa prices in the same way as their counterparts in Côte d’Ivoire, who are reportedly receiving the equivalent of about GH¢3,690 per bag.

“How is it that world market prices lifted farmers in Côte d’Ivoire, yet somehow skipped Ghanaian farmers?” he asked, insisting that international price dynamics cannot justify the reduction.

His comments come as Ghana’s cocoa export earnings have recorded a dramatic increase. Data from the Bank of Ghana shows cocoa export revenues for the first four months of 2025 reached $1.84 billion more than triple the $579 million recorded during the same period in 2024. The four-month figure also exceeds Ghana’s cocoa earnings for the first eleven months of 2024.

Analysts attribute the surge to reduced smuggling, improved farmgate pricing, and efforts to curb illegal mining, which had previously affected cocoa farms. The Ghana Cocoa Board projects cocoa production for the 2024/2025 market year at 700,000 metric tonnes, a 32 percent increase over the previous season’s 531,000 metric tonnes, although official production data for 2025 is yet to be released.

Market structure may also explain the revenue swing. Ghana traditionally sells cocoa through the futures market, where prices are pre-agreed based on previous averages. While this system provides stability, it can limit gains during sharp global price increases. In 2024, global cocoa prices surged, but much of Ghana’s cocoa had already been sold at earlier, lower contract prices. This year, however, if operating through the futures market, last year’s high prices would feed into stronger contract prices. Increased activity on the spot market where cocoa is sold at prevailing prices for immediate payment  may also explain the improved earnings.

For Opoku Mensah, the explanation remains straightforward. “You cannot hide behind international prices when those same prices are benefiting farmers everywhere else,” he said. “When the fundamentals are strong and farmers are still struggling, the issue is not the market  it is leadership.