Cocoa Capital PLC, a wholly owned subsidiary of the Ghana Cocoa Board (COCOBOD), plans to raise up to GH¢16.3 billion through a Domestic Cocoa Notes Programme to finance cocoa purchases and refinance existing debt.
The financing plan comes as COCOBOD increases the producer price of cocoa from GH¢41,392 to GH¢42,400 per tonne for the 2026/27 crop season, effective Friday, September 25.
The revised price translates into GH¢2,650 per 64-kilogramme bag.
GH¢14bn Earmarked for Cocoa Purchases
In a circular issued on September 25, Cocoa Capital said GH¢14 billion of the proposed financing would be raised through Commercial Paper to meet short-term funding requirements during the new crop season.
The remaining GH¢2.3 billion will come from medium and long-term bonds intended to refinance COCOBOD’s legacy debt.
The company has secured approval from the Securities and Exchange Commission to undertake the programme through Ghana’s domestic debt capital market.
The Commercial Paper will be issued in tranches over the coming weeks, with each issuance determined by cocoa purchasing needs and prevailing market conditions.
Cocoa Sales to Support Repayments
Repayment obligations will be backed by receivables from selected executed cocoa forward sales contracts assigned to Cocoa Capital.
Proceeds from those contracts will pass through designated ring-fenced accounts held with appointed banks and be distributed according to the programme’s agreed payment arrangements.
The structure is intended to provide funding for timely cocoa purchases while addressing existing financial obligations.
Cocoa Capital described the initiative as part of the government’s cocoa sector reset agenda, aimed at meeting immediate liquidity needs and developing a more sustainable financing model.
The GH¢16.3 billion represents the programme’s proposed fundraising ceiling, not funds already raised. Details of the individual issuances, including their amounts and terms, will be announced subsequently.
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