COCOBOD Pledges Payment to LBCs Amid Farmer Complaints

Cocoa farmers in Ghana are expressing serious concerns regarding delayed payments from the Ghana Cocoa Board (COCOBOD) for beans supplied. Many farmers report waiting as far back as November 2025 for compensation. This delay is significantly impacting their livelihoods and has the potential to disrupt the entire cocoa value chain.

Farmers insist that timely payments are vital for their operations. Without them, many may find it difficult to sustain their farms, which could adversely affect cocoa production in future seasons. K. Badu, a cocoa farmer, highlighted these issues during a broadcast on Nhyira FM’s Kuro Yi Mu Nsem with Barima Kofi Dawson. He pointed out that about 30% of sold cocoa beans remain unpaid. Consequently, financial pressures are forcing some farmers to sell their lands to illegal gold miners.

COCOBOD’s Response to Farmer Complaints

Addressing these serious concerns, Jerome Sam, COCOBOD’s Head of Public Affairs, expressed surprise over the volume of complaints. He noted that the board had been alerted to these payment delays but emphasized that COCOBOD does not purchase cocoa beans directly from farmers. Instead, the board acts as a facilitator for financing through international offtakers, directing funds to Licensed Buying Companies (LBCs).

Sam stated that COCOBOD had already allocated the funds received from offtakers to LBCs for cocoa purchased in the previous year. He remarked, “We are surprised cocoa farmers are complaining about non-payment since last year all Licensed Buying Companies with COCOBOD contracts received their payments.” However, he mentioned that payment issues might arise from LBCs reliant on their own resources instead of having direct international offtakers, potentially causing delays in settling payments to farmers.

Future Commitment to Farmers

Jerome Sam confirmed that COCOBOD is actively working with relevant stakeholders to address these issues. He stressed the board’s commitment to safeguarding farmers’ welfare and ensuring the sustainability of cocoa production in Ghana. This ongoing dialogue is crucial for resolving the current payment delays and reinforcing trust within the cocoa community.

• Key Issues Faced by Farmers:
• Delayed payments for cocoa beans.
• Financial struggles leading to desperate decisions, such as selling farms.
• Impact on overall cocoa production sustainability.

The situation highlights the delicate balance within the cocoa sector, emphasizing the need for efficient financial flows to support farmers and maintain the industry’s viability. If resolved promptly, the cocoa industry in Ghana can continue to thrive amidst these challenges.