Professor Steve Hanke criticized Ghana’s cocoa regulator, COCOBOD, labeling it as corrupt and alleging that it underpays farmers. CEO Dr. Randy Abbey countered by emphasizing his commitment to improving farmer compensation and enhancing domestic cocoa processing, which currently operates below capacity. He stated initiatives are in place to bolster the exports of processed cocoa products.
In a recent comment, Professor Steve Hanke, an economist at Johns Hopkins University, has labeled the Ghana Cocoa Board (COCOBOD) as a corrupt institution. He criticized COCOBOD for underpaying cocoa farmers, stating that they receive only one-third of the market price for their cocoa. Hanke expressed his concerns on his social media platform, declaring, “The Ghana Cocoa Board rips off Ghanaian farmers.”
COCOBOD’s Chief Executive Officer, Dr. Randy Abbey, responded by affirming his dedication to improving the conditions for cocoa farmers and revitalizing the cocoa sector. He discussed how Ghana’s processing capacity is currently underutilized, operating at less than 50%. This inefficiency, he argued, significantly limits Ghana’s ability to benefit from the lucrative global chocolate market.
Dr. Abbey emphasized the need for enhanced domestic processing, asserting that Ghana has not yet fully capitalized on being a leading cocoa producer. He mentioned that the President has tasked him with initiatives aimed at increasing the country’s export of processed cocoa products, rather than raw cocoa beans.
In summary, Professor Hanke’s remarks highlight concerns about the treatment of cocoa farmers in Ghana. Meanwhile, Dr. Abbey’s assurances reflect ongoing efforts to improve the industry’s productivity and maximize benefits from cocoa production.
The discourse between Professor Steve Hanke and Dr. Randy Abbey highlights significant issues within Ghana’s cocoa sector. Hanke’s accusations of corruption against COCOBOD present a serious challenge for the institution’s credibility. Concurrently, Dr. Abbey’s commitment to enhancing domestic processing and improving farmers’ remuneration reflects potential pathways for reform and increased profitability in the cocoa industry.
Original Source: www.ghanaweb.com
