Major Concerns and Recommendations - Ghana

The document argues that Ghana's cocoa sector is plagued by high deforestation rates, poverty-driven child labour, and a lack of transparency in pricing and governance. It highlights that cocoa is the "single most important commodity driving deforestation in Ghana," with a loss rate of 3.2% per annum in the cocoa forest landscape. The briefing recommends clarifying forest conversion laws, reforming tree and land tenure to incentivise agroforestry, and establishing a mandatory national legality and traceability system to comply with emerging EU and UK due diligence regulations. It also calls for legislative reforms to the definition of child labour and greater transparency in the management of the Living Income Differential (LID) and the Producer Price Review Committee (PPRC).

• Cocoa production is the primary driver of deforestation in Ghana, with the cocoa forest landscape of approximately 5.9 million hectares experiencing a deforestation rate of 3.2% per annum.
• The legal framework for forest reserves is ambiguous regarding conversion, as some policies ban mining while others imply it is permitted, creating uncertainty that encourages illegal agricultural and mining activities.
• State ownership of naturally occurring trees on private land disincentivises farmers from adopting agroforestry and protecting trees, as they are excluded from the economic benefits of harvesting.
• Insecure land tenure for migrant farmers, often based on undocumented customary arrangements, discourages the replacement of old cocoa trees and limits access to credit.
• Ghana's current cocoa traceability system is voluntary, paper-based, and focused on quality rather than the legality of the source, making it difficult to prevent cocoa from illegal production areas from entering the supply chain.
• There is a significant gap between international cocoa prices and farmer earnings; in 2019, African cocoa-producing countries captured only 3% of global chocolate industry revenue despite producing 3.4 million of the 5 million tonnes globally.
• The Living Income Differential (LID) of USD 400 per tonne introduced by Ghana and Cote d'Ivoire faces challenges including a lack of transparency in fund disbursement and resistance from some cocoa companies.
• Child labour remains prevalent in the cocoa sector, with a 2020 US Department of Labor study finding 770,000 children engaged in production, 92% of whom were exposed to hazardous work.
• The governance of the cocoa sector is characterised by a lack of transparency, particularly regarding the Producer Price Review Committee (PPRC), which is not established by legislation.
• Enforcement of environmental laws is weakened by conflicting institutional goals, where Cocobod may resist the Forestry Commission's efforts to remove illegal cocoa trees to maintain national production targets.

APA

ClientEarth (2022). Major Concerns and Recommendations - Ghana. https://www.clientearth.org/media/4vjk5sll/final_cocoa-research-2.pdf

Chicago

ClientEarth. Major Concerns and Recommendations - Ghana. 2022. https://www.clientearth.org/media/4vjk5sll/final_cocoa-research-2.pdf.

Wikipedia

{{cite report |author=ClientEarth |title=Major Concerns and Recommendations - Ghana |date=October 2022 |url=https://www.clientearth.org/media/4vjk5sll/final_cocoa-research-2.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{clientearth2022major, author = {{ClientEarth}}, title = {{Major Concerns and Recommendations - Ghana}}, institution = {ClientEarth}, year = {2022}, month = oct, url = {https://www.clientearth.org/media/4vjk5sll/final_cocoa-research-2.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }