GHANA’S Cocobod, the regulatory body overseeing the cocoa industry, has unveiled plans to allocate a portion of a $200 million loan from the World Bank towards the revitalisation of cocoa plantations ravaged by the cocoa swollen shoot virus. This viral disease, notorious for its detrimental effects on yields and tree mortality, has significantly hampered cocoa production in Ghana, the world’s second-largest cocoa producer after neighbouring Cote d’Ivoire.
‘The rehabilitation will take a minimum of five years to start getting economic production,’ revealed Emmanuel Opoku, Cocobod’s deputy CEO in charge of operations, emphasising the long-term nature of the project. He further acknowledged the hurdles faced, telling Reuters, ‘Efforts had been hampered by the country’s economic crisis and the board’s limited funds.’
The cocoa swollen shoot virus has decimated approximately 500,000 hectares of farmland in Ghana, leading to a drastic reduction in cocoa output. Last year alone, Ghana’s cocoa production plummeted to 600,000 metric tons from a peak of 1.048 million tons in the 2020/21 season, attributing the decline not only to the virus but also to aging plantations, illegal mining, and smuggling activities, Reuters reported.
‘We acknowledge the severity of the situation, and we are committed to addressing it effectively,’ Opoku affirmed, highlighting the urgency of the rehabilitation efforts.
According to a project information document, a substantial portion of the $200 million loan, coupled with counterpart funding, will be directed towards Cocobod’s initiatives to rehabilitate farms and enhance understanding of the various strains of the virus.
Alhassan Bukari, president of Ghana’s Cocoa, Coffee, and Sheanut Farmers’ Association, stressed the significance of aggressive rehabilitation efforts, underscoring the dire impact of the virus on farming communities. ‘Many farmers are affected, and the need for swift action cannot be overstated,’ Bukari asserted.
Ghana had previously used a $600 million loan from the Africa Development Bank (AfDB) in 2018 to address similar challenges. However, the programme encountered setbacks amidst Ghana’s economic turmoil. Opoku reflected on the experience, noting, ‘The AfDB facility benefited more than 88,000 hectares of farmlands, of which 40,000 hectares were ready to be given back to farmers in “the coming days”.’
Despite these efforts, production challenges persist in Ghana’s cocoa sector, with Cocobod reporting a 35 percent decrease in graded and sealed cocoa arrivals between September 1st and January 31 this year, attributed to various factors including the seasonal dry Harmattan wind and other production challenges.