The site of a rice farm plagued by drought in the Volta Region.
The Ghana Rice Inter-Professional Body (GRIB) has revealed that rice production in the Volta Region of Ghana faces bleak consequences this year due to ongoing drought conditions which are disrupting production in some parts of the Region.
According to the body, farmers in the Akatsi North and South districts in the Volta Region have been gravely affected by poor rainfall patterns and are likely to lose their entire output for the 2021/2022 season.
“In Ketu South alone, over 700 hectares of rice have been lost to the drought. “The problem covers several areas including Kpoglu, Avalavi, Klenomadi and Avie in Ketu North, Akatsi in Akatsi South, Tongu Districts, Afadzato South District and Hohoe Municipal areas,” the President said.
This comes as a blow to the sector, which is an attempt to wean the country off rice importation by achieving self-sufficiency in production by 2025.
As if that is not enough, the affected farmers will have to wait till next year before they can earn some income.
Speaking to the reporter, President of GRIB Nana Agyei Ayeh II said some members of the farmers reached out to him to ascertain the situation and find a solution to the looming danger.
The President, together with some of the officials of the John A. Kufuor Foundation paid a working visit to the farms, and on their observation, several hectares of rice under cultivation are lost due to climate change and low levels of rainfall in these communities.
The woes of the farmers are further exacerbated by the huge investments they have already made in land preparation, seeds, and fertilizer.
However, the provisional production figures by the Ministry of Food and Agriculture (MoFA) indicate that about 973, 000 metric tonnes of rice were produced in Ghana in 2020. But, this figure could be hard to match in 2021 if the current situation persists.
Nana Agyei Ayeh II revealed that the existing dam structure which was built to harvest water to irrigate the farmlands is in a dire state of disrepair, leaving farmers at the mercy of the harsh weather conditions.
“We cannot continue with rain-fed agriculture. As you can see, this year, farmers have lost their investments simply because the rains failed them.
We would like to appeal to the Ministry of Food and Agriculture to provide dugouts for these areas. These will aid in water conservations for the purposes of irrigation in such times like what we facing now” he added.
Deputy Minister for Food and Agriculture, Hon. John Dumelo, has attributed the sharp rise in ginger prices to a mysterious disease that has devastated ginger farms across Ghana over the past two years.
“There’s a strange ginger disease that has come and, for the last two years, it has affected most ginger farmers. That is why ginger has become so expensive,” he said.
According to the Ministry of Food and Agriculture, the outbreak has significantly reduced yields, creating supply gaps that traders say have become increasingly difficult to fill.
The shortages have forced traders to source ginger from countries including China, Cote d’lvoire, Nigeria and Togo to supplement the local market. Historical trade records also indicate imports from Sri Lanka, India and the Netherlands.
Figures from the Ghana Statistical Service show that China accounted for more than 23 percent of Ghana’s total imports in the final quarter of 2025, with shipments including machinery, electronics, textiles and agricultural products.
Trade data published by the United Nations COMTRADE indicate that Ghana imported approximately US$39,740 worth of ginger, turmeric, saffron, thyme and related spice products from China in 2023.
These figures underscore Ghana’s growing dependence on imported ginger, despite the crop’s longstanding importance to local agriculture, food processing and traditional medicine.
Economists have linked the situation to broader structural weaknesses in Ghana’s agricultural sector, particularly limited investment in disease control, post-harvest management and climate resilience.
Recent data also show that Ghana’s imports from China reached record levels in late 2025, with monthly imports peaking at approximately US$437 million in November.
For consumers, however, the immediate concern is affordability, as rising prices continue to affect households, food vendors, restaurants and spice retailers who depend on ginger for cooking and traditional remedies.
Seven employees of Cocoa Processing Company PLC have been interdicted following audit findings by the Ghana Audit Service, which identified an outstanding and unaccounted amount of GH¢4,373,355.04 linked to the operations of the CPC Consumer Cooperative Shop.
The audit, which examined activities covering the 2023–2024 and 2024–2025 financial years and was completed in March 2026, reportedly uncovered irregularities involving products supplied to the union-run shop located on the company’s premises in Tema.
According to excerpts of the report cited by Myjoyonline.com, the consumer shop, operated by workers through their unions, had accumulated debts to the company amounting to GH¢4,373,355.04 as of September 2025 for goods supplied by CPC.
The report also indicated that the shop operated rent-free on company premises and did not pay for utilities during the period under review. The auditors cautioned that failure to recover the receivables could adversely affect the company’s financial position.
The interdicted staff include Theodore Matey Tackey, Chairman of the Senior Staff Union; Abdul-Samed Adams, Chairman of the Junior Staff Union; George Yanney, Principal Accounts Officer; Daniel Mensah, Shop Keeper; Genevieve Pawar, Product Research and Development Manager; James Ababio, Production Manager (Confectionery); and Michael Eshun, Chief Engineer.
Information available indicates that four of the affected officers served on the Consumer Shop Management Committee, two acted as patrons, and one served as the shopkeeper responsible for day-to-day operations.
Sources within the company said management acted after receiving the audit findings and issued queries to the affected staff to explain the discrepancies identified.
The staff were reportedly given the opportunity to respond before the interdictions were imposed. Some of the officers are said to have denied wrongdoing and disputed aspects of the audit findings in their responses.
A letter of interdiction dated May 11, 2026, and signed by the Managing Director, Professor William Coffie, stated that management had reviewed the responses but found that there had been “no headway” in resolving the matter.
The letter added that further investigations were necessary to arrive at a conclusive determination, in line with the Ghana Audit Service’s recommendations for the recovery of the outstanding amount.
As part of the directives, the affected staff have been instructed to cease all withdrawals from the Consumer Shop’s bank accounts and to make themselves available for a full stock-taking exercise to be jointly conducted by the company’s Audit and Accounts Departments under the supervision of the Security Coordinator.
They are also required to submit handing-over notes and will remain on two-thirds salary pending the outcome of investigations, in line with the company’s collective agreement.
The Ghana Audit Service has recommended the immediate recovery of the outstanding receivables and urged CPC to ensure proper accounting for rent, water, and electricity going forward.
The development has triggered discussions among workers, with concerns raised about the scale of the amount involved and its implications for both management and the unions associated with the shop.
Management of Cocoa Processing Company PLC had, at the time of filing this report, not issued any public statement beyond the interdiction letters served to the affected staff.
Ghana Water Limited has defended its decision to venture into the sachet and bottled water business, dismissing claims that the move distracts the company from its core mandate of supplying potable water to Ghanaians.
Managing Director of GWL, Adam Mutawakilu, said criticisms surrounding the initiative are based on misunderstandings about the structure and operations of the company.
According to him, the sachet and bottled water business is being undertaken through a subsidiary and does not interfere with the primary responsibilities of Ghana Water Limited.
Mr. Mutawakilu explained that subsidiaries often operate independently while supporting the broader objectives of a parent institution, adding that such arrangements are common among major state-owned enterprises.
He cited Volta River Authority as an example, noting that the authority operates subsidiaries involved in power distribution and revenue collection without compromising its core mandate.
The GWL Managing Director stressed that the company remains fully committed to delivering safe and reliable water to the public, while exploring additional business opportunities through legally established subsidiaries.
He further urged critics and members of the public to seek accurate information and better understand the distinction between parent companies and their subsidiaries before making comments about GWL’s operations.
Minister for Lands and Natural Resources, Emmanuel Armah-Kofi Buah, has announced government plans to plant an additional 30 million trees from June this year as part of efforts to restore degraded forests and strengthen environmental sustainability measures across the country.
Delivering a major address at the 21st Session of the United Nations Forum on Forests at the United Nations Headquarters in New York, the Minister said the initiative will commence with the onset of the rainy season and forms part of Ghana’s broader commitment to tackling deforestation and climate change.
According to him, the nationwide tree-planting exercise will build on ongoing reforestation interventions by the government to reverse the destruction of forest reserves, largely caused by illegal mining and other human activities.
“We are not stopping there. From June 2 this year, at the start of the rains and planting period, we will commence this year’s edition to plant an additional 30 million trees,” he stated.
Armah-Kofi Buah further indicated that the government is integrating tree planting into farming systems through the Ghana Cocoa Forest REDD+ Programme, which promotes climate-smart agriculture and sustainable land-use practices.
”In the last year alone, through our innovative flagship tree for life restoration initiative, we mobilised citizens and residents.
The Student Workforce Innovation Movement (SWIM) today announced the appointment of agritech innovator Evans Kyere-Mensah as Global Agritech & Climate Innovation Advisor, a strategic leadership role focused on expanding global workforce pathways in agriculture, climate resilience, and next-generation food systems
This strategic appointment strengthens global efforts to connect students, universities, and industry through Agritech innovation, sustainable food systems, and workforce development.
SWIM is an emerging global platform dedicated to connecting students, universities, industry leaders, governments, and development organizations to build workforce pathways and innovation ecosystems that prepare the next generation for the evolving global economy.
Kyere-Mensah brings extensive experience in agribusiness development, youth empowerment, agricultural value chain innovation, and climate-smart agriculture initiatives across Africa and international development networks. In his advisory role, he will provide strategic guidance on SWIM’s expanding portfolio of agritech education initiatives, university partnerships, and innovation programs designed to prepare students for emerging opportunities in agriculture and climate innovation.
The appointment comes at a critical moment for the global economy. According to global development organizations including the World Bank and the Food and Agriculture Organization of the United Nations (FAO), agriculture supports the livelihoods of nearly one billion people worldwide and remains one of the most important sectors for economic development, climate resilience, and food security.
Africa is expected to play a defining role in the future of global agriculture, with the continent home to the world’s youngest population and vast agricultural potential. Global development experts increasingly emphasize that equipping young people with agritech skills, innovation pathways, and entrepreneurial opportunities will be essential to unlocking sustainable economic growth and strengthening global food systems.
SWIM’s model addresses this opportunity by building a global platform that connects students with universities, industry partners, and emerging innovation ecosystems across sectors including agritech, climate technology, artificial intelligence, and entrepreneurship.
“Evans brings a rare combination of agricultural innovation expertise, youth development leadership, and global perspective,” said Louv Afua Amoakowaa Ford, Founder and CEO of the Student Workforce Innovation Movement (SWIM). “His insight will play a critical role as we expand SWIM’s agritech programs, build partnerships with universities and research institutions, and create new opportunities for students to participate in the future of sustainable agriculture and climate solutions.”
Ford added, “Agriculture sits at the intersection of food security, economic development, and climate resilience. By connecting students to agritech innovation ecosystems and institutional partnerships, SWIM is helping prepare the next generation of leaders who will shape the future of sustainable agriculture.”
As Global Agritech & Climate Innovation Advisor, Kyere-Mensah will contribute to several strategic initiatives, including:
• Development of agritech education and certification programs in collaboration with accredited universities • Expansion of climate-smart agriculture training and workforce development initiatives • Strategic partnerships with agricultural institutions, agribusiness companies, and international development organizations • Creation of innovation pilot programs and student-led agritech entrepreneurship initiatives
These initiatives support SWIM’s broader mission to build a global workforce ecosystem connecting students, educational institutions, governments, and industry leaders to drive innovation, job creation, and sustainable economic development.
“I am honored to join SWIM as Global Agritech & Climate Innovation Advisor,” said Evans Kyere-Mensah. “Agriculture is undergoing a profound transformation driven by technology, climate challenges, and new economic opportunities. SWIM’s vision of connecting students with innovation ecosystems and industry partnerships provides a powerful platform to empower the next generation of leaders in agriculture and climate resilience.”
Through this collaboration, SWIM and Kyere-Mensah will work to strengthen pathways for students to participate in agricultural innovation, support the development of sustainable food systems, and foster entrepreneurship that contributes to long-term economic growth across emerging markets.
As SWIM continues to expand its global advisory network and institutional partnerships, the organization is building a collaborative ecosystem where students, educators, innovators, and industry leaders work together to develop the workforce and innovation solutions needed for the future global economy.
About Evans Kyere-Mensah
Evans Kyere-Mensah is an internationally recognized award-winning agribusiness and youth development leader focused on advancing agricultural innovation, entrepreneurship, and climate-smart agriculture initiatives. His work centers on empowering young people to participate in agricultural value chains, promoting sustainable farming practices, and developing programs that strengthen economic opportunity and resilient food systems across emerging markets.
About the Student Workforce Innovation Movement (SWIM)
The Student Workforce Innovation Movement (SWIM) is a global initiative dedicated to expanding opportunities for students through workforce innovation, education partnerships, and entrepreneurship. By connecting students with universities, industry leaders, governments, and global organizations, SWIM develops programs that equip young people with the skills, networks, and paid opportunities needed to thrive in the evolving global economy. SWIM supports initiatives across sectors including agritech, artificial intelligence, climate innovation, blockchain technology, and entrepreneurship, helping to build innovation ecosystems that empower the next generation of global leaders
A former World Bank president has told the BBC that China should stop hoarding food and fertiliser to ease a global supply crisis caused by the Iran war.
David Malpass, who also served as Treasury Under Secretary for International Affairs under US President Donald Trump from 2017 to 2019, was speaking to the World Service’s World Business Report on the eve of the Trump-Xi summit in Beijing.
“They have the biggest world stockpile of foodstuffs and of fertiliser,” he said. “They can stop building their stockpiles.”
His comments come as nations around the world scramble to secure fertiliser supplies ahead of spring planting, with the closure of the Strait of Hormuz severely disrupting shipments.
China has itself halted fertiliser exports since March, citing the need to protect domestic supplies.
Malpass, who served as World Bank president from 2019 to 2023, also said that Beijing’s claim to be a developing nation is no longer credible.
“They present themselves as a developing country when they’re the second biggest economy in the world and in many ways rich,” he said.
“And yet they still have the pretence of being a developing country in the WTO and in the World Bank, and they could suspend that,” Malpass added.
The BBC has contacted the Chinese embassy in Washington for comment.
On the Iran ceasefire, which Trump on Monday described as being on “massive life support”, Malpass said the world should unite behind the United States and demand a resolution.
“You can’t have a rogue state with plutonium, and you can’t block the Strait of Hormuz,” he said.
Malpass was hopeful that China would help resolve the deadlock in the Strait of Hormuz, saying that the free movement of ships was in its economic interest: “China benefits from open waterways worldwide.”
“They run the shipping lines, own the containers, and make huge profits from trade with the rest of the world. So, they would be a big loser if Iran in some way had control of the Strait of Hormuz”, he said.
On the economic outlook for ordinary Americans ahead of Tuesday’s US inflation data for April, Malpass said prices are heading higher. “I expect some up, yes, prices will go up on many products,” he said.
But he added “robust” jobs data showed the US economy was resilient.
Despite Ghana earning approximately GHS 1.93 billion from shea exports, the country still imported GHS 1.86 billion worth of shea oil.
In the opening ceremony of the World Shea Expo 2026 at Wa, the Director of Presidential Initiatives in Agriculture and Agribusiness at the Office of the President, Dr. Peter Boamah Otokunor explained the government’s policy to sustain and improve the livelihood of the shae farmers and the processors.
“This means that while we produce, others process and profit more. This imbalance is not sustainable, and it is exactly what we are determined to change,” he declared as compared Ghana’s raw export value to the imported value of finished products.
To combat this, said the government is taking bold policy steps, including a phased restriction on the export of raw shea nuts to retain more value within Ghana. He added that the introduction of the 24-Hour Economy policy will further transform the sector by removing time limits on processing and reducing post-harvest losses.
“For many women across northern Ghana, especially in this very region, the shea nut is not just a product—it is survival, it is school fees, it is healthcare, and it is hope,” Dr. Otokunor added.
Championing this export course, the Member of Parliament for Wa East and Board Chairman for the Ghana Export Promotion Authority (GEPA), Dr. Godfred Seidu Jasaw, stressed the critical need for strict local bylaws to preserve the shea tree from environmental destruction.
“The shea tree is a climate-resilient economic lifeline for Northern Ghana,” Dr. Jasaw stated. “If we do not jealously protect the raw material source, our processing targets and government investments will mean nothing.”
This agenda was further reinforced by GEPA’s Deputy CEO, Ambrose Edwin Nsarkoh, who elaborated on the authority’s commitment to facilitating international market access for local processors. He highlighted that Ghana holds a significant share of the global shea industry, valued at $6.4 billion.
“By enforcing the mandate to process at least 50% of our raw materials locally, we are aggressively working toward our target of $10 billion in non-traditional export revenue by 2030,” Mr. Nsarkoh explained.
For two consecutive months, Millicent ‘Mama’ Dzissah, a 45-year-old fishmonger and retailer at Vodza near Keta, has watched her livelihood slip away as dwindling fish stocks in Ghana’s Volta Region coastal waters leave fishermen returning with little or no catch.
The shortage has cut off Ms Dzissah, a mother of five, from her fish supply, deprived her household of its main source of income, and underscored the growing hardship facing fishing-dependent families already bearing the brunt of climate change.
According to her, the decline in fish stocks has intensified over the past decade, steadily eroding the livelihoods of women who depend on artisanal fishing. “I have been in the fish business for about 25 years, but going two months or more without trading has become common in the last 10 years,” she said.
The scarcity has also driven fish prices sharply higher. “A container of fish weighing between 60kg and 80kg now sells for GH¢1,300, but in the past, that same amount could buy three to four containers,” she added.
Climate Pressure on the Sea
Studies show climate change is already affecting Ghana’s marine ecosystems, particularly small pelagic species such as sardinella, anchovy and mackerel—key sources of food and employment. Catches have declined significantly over the past three decades, with some stocks falling to less than 10 percent of early 1990s levels due to overfishing and ocean warming (CSIS, 2024).
With supplies dwindling, Ms Dzissah has turned to alternative income sources, selling sachet water and a locally brewed hibiscus drink, ‘sobolo’, to support her household. “There are limited economic opportunities here. This is what I do to earn a little income for my family, but the returns are woefully insufficient,” she said.
The combination of rising prices and declining supply is squeezing profit margins for small-scale fish traders and deepening economic strain across fishing households in Keta.
A senior academic at Kwame Nkrumah University of Science and Technology (KNUST), Professor Daniel Adjei-Boateng, said climate change is emerging as a significant threat to Ghana’s fisheries sector, marine biodiversity and coastal livelihoods.
While overfishing and illegal practices remain major challenges, he noted that rising sea temperatures, shifting ocean currents, sea-level rise and coastal erosion are compounding the crisis. For communities like Keta—where fishing is both an economic activity and a way of life—the risks are profound.
The Food and Agriculture Organization (FAO) also notes that changing rainfall patterns and reduced freshwater inflows can limit nutrient supply to coastal ecosystems, weakening fish reproduction, migration and productivity in small-scale fisheries.
Fishermen under strain
Irregular rainfall patterns across the Keta enclave are believed to be contributing to declining fish stocks, with effects felt across the entire artisanal fishing value chain. As sea surface temperatures rise in the Gulf of Guinea, many fish species are migrating to cooler waters, forcing artisanal fishers to travel farther offshore.
According to the Ghana National Canoe Fishermen Council, 1,515 canoes were operating along the Volta Region coastline as of April 2026, with 72 based in Vodza.
Fishermen and canoe owners say they are bearing the brunt of the crisis. Many report drastically lower catches and rising operational costs, as they spend longer hours at sea and consume more premix fuel in search of fish.
A 70-year-old canoe owner and Deputy Chief Fisherman at Vodza, Moses Nutsugah, said sea erosion has become a recurring challenge, occurring every four to five years and damaging canoes, nets and landing beaches.
“In the past, we used to have bumper harvests just 10 to 20 metres offshore. Now, fishermen must travel between 18 and 30 kilometres to catch very little fish or return empty-handed. About 10 years ago, I could catch around 200 kilograms, but now it takes divine intervention to catch more than 10 kilograms,” he said.
Amid the crisis, Mr. Nutsugah now relies on financial support from relatives in Accra and Kumasi. “There are no viable economic opportunities here. I depend on family members who sometimes assist me,” he added.
Coastline under siege
Keta remains one of Ghana’s most climate-vulnerable coastal areas. Shoreline erosion, tidal surges and sea-level rise continue to threaten homes, landing beaches and fish processing facilities, while saltwater intrusion risks damaging the Keta Lagoon’s role as a nursery for fish.
Recent developments reflect these long-standing threats. In Fuveme in the Anloga District, tidal waves have destroyed fishing assets, homes and critical infrastructure, crippling the local fishing economy.
The latest erosion episode in April 2026 submerged large sections of the community and swept away a sandbar built as a temporary defence, significantly narrowing the land buffer between the Atlantic Ocean and the Volta River and raising concerns about the possible formation of a new estuary.
A fisherman at Atiteti-Fuveme, Amos Agboado, warned that the impact could extend beyond marine fishing. “We fear seawater intrusion into the Keta Lagoon and surrounding inland water bodies, which could affect breeding conditions for tilapia and mudfish,” he said.
Residents say constructing sea defence infrastructure is critical to protecting communities and sustaining livelihoods. Mr Agboado also proposed the construction of a canal between the ocean and the lagoon to regulate seawater inflows and stabilise salinity levels.
Policy gaps, urgent choices
At the policy level, Ghana’s National Fisheries and Aquaculture Development Policy emphasises climate resilience, including transitioning fishers from wild capture to aquaculture to reduce pressure on marine stocks. However, as the policy enters its final year, many in Keta say there is little evidence of improvement in their livelihoods.
A 2023 analysis in the UCC Law Journal identified weak enforcement, low compliance and limited institutional capacity as key constraints in the fisheries sector.
The Fisheries Commission has launched a $1.3 million, three-year initiative to operationalise the Fisheries and Aquaculture Act, including plans for a Development Fund to support habitat restoration and research into climate-resilient fish species.
The initiative aligns with the Global Biodiversity Framework’s 30×30 target, which aims to protect 30 percent of the world’s marine and terrestrial ecosystems by 2030.
Conclusion
Climate change is already reshaping Ghana’s fisheries landscape. In Keta, warming seas, shifting fish migration, coastal erosion and biodiversity loss are intensifying pressure on livelihoods and food security. Without urgent adaptation measures and stronger fisheries management, the country risks losing both critical marine ecosystems and the coastal communities that depend on them.
World food prices climbed in April to their highest in more than three years, with vegetable oils particularly elevated due to the Iran war and the effective closure of the Strait of Hormuz, the United Nations Food and Agriculture Organization (FAO) said on Friday.
FAO Chief Economist Máximo Torero said vegetable oil prices are being driven by elevated energy costs that are in turn raising demand for biofuels made using organic materials, such as oil-rich plants.
He added, however, that despite war-linked disruptions, agri-food systems were showing resilience, with cereal prices having increased only moderately thanks to adequate supplies from previous seasons.
The FAO Food Price Index, which measures changes in a basket of globally traded food commodities, rose for a third consecutive month in April to average 130.7 points, the UN agency said, up 1.6% from its revised March level and the highest since February 2023.
The index hit a peak of 160.2 in March 2022 after the start of the Ukraine war.
The FAO’s April vegetable oil price index rose 5.9% month-on-month to its highest since July 2022 as a result of increased soy, sunflower, rapeseed oil and palm oil prices, the latter, notably, underpinned by biofuels policy incentives.
By contrast, April cereal prices rose just 0.8% from March and were up 0.4% from a year ago, reflecting modestly higher prices for the likes of wheat and maize linked to weather concerns, rising fertiliser costs and increased biofuels demand.
There are expectations for reduced 2026 wheat plantings, the UN agency said, as farmers shift to less fertiliser-intensive crops given prices for the inputs have surged.
Elsewhere, April meat prices rose 1.2% month-on-month to a record high amid limited slaughter-ready cattle in Brazil, the FAO said, while sugar dropped 4.7% thanks to forecasts for ample supply in Brazil, China and Thailand.
In a separate report, the FAO slightly raised its 2025 global cereal production estimate to a record 3.040 billion metric tons, 6% above levels seen in the prior year.
Ghana’s state-owned cocoa buyer is unable to purchase cocoa from farmers after accumulating debts of 673 million cedis ($60 million) that have left it facing an asset seizure, a company source with knowledge of the matter told Reuters.
The company, Producer Buying Company (PBC), is legally mandated to purchase cocoa from any farmer as a buyer of last resort. The government pledged in February to restore it as the country’s leading cocoa buying company.
But three months later, PBC owes growers 24 million cedis for over 9,000 bags already delivered and lacks the liquidity to resume purchases, the company source said.
A consortium of Ghanaian banks owed 257 million cedis secured a court order in March to sell off the company’s assets, the source said.
Ghana’s cocoa industry has been in crisis as it has struggled to sell beans and pay farmers this year due to ample global harvests, lower cocoa prices and falling demand from chocolate makers for the ingredient.
PBC’s woes also stem from a loss of market share – it used to control 30% of the domestic market but currently buys less than 5% of cocoa produced in Ghana. Its problems risk further exacerbating financial hardship for Ghana’s smallholder farmers, thousands of whom have not been paid for beans delivered since November 2025.
The company source, who spoke on condition of anonymity because they were not authorised to brief the media, said COCOBOD has yet to reimburse PBC for 800 metric tons of cocoa delivered more than two months ago.
Under Ghana’s cocoa system, PBC and other Licensed Buying Companies that purchase cocoa from farmers then sell it to COCOBOD, the market regulator, which sells it on to international buyers.
Neither the finance ministry nor COCOBOD has responded to requests from PBC for support, the source said.
The finance ministry and COCOBOD did not respond to requests for comment.
Finance Minister Vowed to Aid Company
Finance Minister Cassiel Ato Forson said in February that the revival of PBC was central to the government’s strategy of supporting cocoa farmers, promising a reliable and transparent avenue for growers to sell their product at fair prices.
The source said the minister has since not had any discussions with the company on the way forward.
COCOBOD says it has been disbursing funds to buying companies. But the company source said PBC had not received any money.
PBC’s debt includes over 24 months of unpaid staff salaries, vendor arrears and outstanding statutory payments, in addition to the 257 million cedis owed to banks, the source said.
Two of the five banks in the consortium that secured a court order to sell off PBC assets are state-owned and all report to the finance ministry.
SSNIT, the state pension fund and a major shareholder, has been reluctant to inject fresh capital into PBC, having not received expected dividends since its initial investment, the company source said.
A structured COCOBOD intervention could turn things around, the company source said, if the board directed a share of international buyers towards PBC and released funds for purchases.
PBC operates in all 127 cocoa-growing districts, giving it a bigger reach than any private company.
