The government is preparing a major overhaul of Ghana's cocoa sector with a new COCOBOD Bill that promises to reshape how cocoa is priced, financed and processed, while offering farmers a larger and more responsive share of export earnings.
Presenting the 2026 Mid-Year Budget Review in Parliament, Finance Minister Dr. Cassiel Ato Forson announced that the government will submit legislation to repeal and replace the Ghana Cocoa Board Act, 1984 (PNDCL 81).
The proposed law forms part of a broader reform agenda aimed at strengthening the financial position of the Ghana Cocoa Board, improving returns to farmers and expanding value addition within the country's cocoa industry.
Farmers to Receive Minimum 70% of Export Price
A key feature of the proposed legislation is a producer pricing mechanism that will reflect movements in international cocoa prices, exchange rate fluctuations and other market conditions.
Under the new framework, cocoa farmers will be guaranteed not less than 70 per cent of the gross Free-on-Board (FOB) price, a move expected to make producer prices more responsive to global market trends.
Government also plans to establish a new financing framework for cocoa purchases and related operations to improve COCOBOD's long-term financial sustainability and operational efficiency.
Push for Local Processing
The reforms go beyond farmgate prices.
The proposed Bill will require at least 50 per cent of Ghana's cocoa beans to be processed locally, marking a significant shift towards value addition instead of exporting raw beans.
Officials believe the measure will support industrial growth, create jobs and enable Ghana to retain a larger share of the value generated from its premium cocoa.
The government says the reforms are intended to build a more competitive and resilient cocoa industry while ensuring that farmers benefit more directly from the sector's performance.
The Cocoa Marketing Company, which is responsible for marketing and selling Ghana's cocoa, has also expressed support for the reforms, describing them as a step towards a stronger, value-driven cocoa sector capable of delivering sustainable long-term growth for producers and the national economy.
READ ALSO: President Mahama Urges AU Action on Xenophobic Attacks in South Africa
