Payment delays strain Ghana’s Cocoa Farmers despite improved harvest
Cocoa farmers across Ghana are raising concerns over prolonged payment delays, warning that the situation is disrupting harvesting activities and threatening their livelihoods.
According to a Reuters report, some farmers say they have waited up to six months to receive payment for cocoa beans supplied, leaving them without the working capital needed to hire labour and meet harvesting costs.
Ghana’s cocoa sector supports an estimated 800,000 farming households, making the issue a significant concern for the broader economy.
Vice President of the Ghana Cocoa Cooperatives Association, Theophilus Tamakloe, said the delays are severely affecting farmers’ operations and income.
“I have cocoa on the trees that needs to be harvested but there is no money to even do that,” he said, adding that the challenge is impacting more than 340,000 cooperative members.
He disclosed that he currently has 14 bags of freshly harvested cocoa, weighing about 896 kilogrammes, stored in his warehouse, which he has refused to sell on credit.
“I will only release them to a Licensed Buying Company that pays me instantly,” he stated.
Ghana currently has about 65 Licensed Buying Companies (LBCs) operating within the cocoa value chain.
Another farmer, Abdulai Adoswin, said he has harvested 300 bags this season, up from 190 bags last year, but cautioned that continued progress depends on timely payments before the season ends around August or September.
The Ghana Cocoa Board (COCOBOD) has indicated that it is releasing funds to LBCs to settle outstanding payments dating back to November. However, sources within some LBCs say they are yet to receive payments for cocoa beans already supplied.
“My understanding is that COCOBOD has sold all the beans supplied for the 2025/26 season,” a source told Reuters on condition of anonymity. “We are still waiting to be paid and I really don’t know what is going on anymore,” the source added.
COCOBOD has yet to provide an official response, stating that it is reviewing the situation.
The payment delays come amid a broader liquidity crunch affecting Ghana’s cocoa sector, which has also led to a reduction in the producer price paid to farmers.
Production has further been impacted by factors such as crop diseases, ageing plantations, illegal mining activities, and erratic weather conditions.
Data from the Bank of Ghana indicates that cocoa export earnings declined by about 20 percent year-on-year to 956.3 million cedis (approximately $86 million) in February 2026.
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