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This report provides a collection of stakeholder perspectives, interviews, and background data regarding a licensed buying company (LBC) operating within Ghana's cocoa industry. It details the financial challenges facing LBCs, the impact of climate change on cocoa yields, the implementation of digital traceability and certification systems, and the social dynamics of labor and gender in the sector.

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  • Licensed Buying Companies (LBCs) in Ghana face significant financial pressures due to rising interest rates and limited funding from the Ghana Cocoa Board (COCOBOD). While COCOBOD provides advanced finance, it often covers only about 10% of a full season's requirements, forcing LBCs to seek commercial bank loans with high interest rates—which rose from approximately 14.8% to 17.3% by March 2022. Furthermore, local LBCs are disadvantaged against multinational enterprises (MNEs) like Olam, which act as both LBCs and registered traders.
  • Climate change and environmental degradation are severely impacting cocoa production, particularly in the Western Region. Stakeholders report longer dry periods, unpredictable rainfall, and the death of seedlings and older trees. In some areas, the time for trees to reach maturity has increased from 4 years to 7 years. These conditions have led to a drastic decline in supply; one area previously providing 40,000 bags now struggles to deliver 10,000 bags.
  • To combat bean theft and improve traceability, a new digital cocoa management system is being implemented. This system uses unique farmer IDs and a smartphone app to record transactions, blocking purchases if the ID does not match central records. COCOBOD is also georeferencing farm locations. However, a 2021 pilot indicated that inadequate network coverage remains a significant barrier to the system's success.
  • Sustainability certifications, such as Rainforest Alliance and Cocoa Life, provide financial incentives and improved income for farmers through premiums. For example, some farmers receive a premium of GHS 10/bag through Cocoa Life. The Beyond Beans Foundation supports these efforts by using a dedicated app from Farmerline to conduct manual tree counts and yield estimates, which prevents the adulteration of certified supply with non-certified beans. Digital tools have reduced implementation costs by approximately 27%.
  • Training in Good Agricultural Practice (GAP) has led to measurable increases in cocoa yields. One farmer reported an increase from 3 bags per parcel to 5 bags, while another saw an increase from 3 bags/acre to 10 bags/acre. Training covers planting techniques, pruning, artificial pollination, and the correct use of chemicals. Farmers have expressed a need for further training in financial management and termite control for young seedlings.
  • While child labour is illegal and declining due to government programs and free education policies, it remains a risk during time-critical events like harvesting and fermentation. When adult labour is unavailable or too expensive, families may use children as a last resort to secure household income. Current adult labour rates are reported at GHS 50 per day for harvesting and GHS 40 per day for pod carrying.
  • There is a recognized need for targeted policies to increase female employment in the male-dominated cocoa industry. The case study company works with Cocoma, a successful women's farmer group, and is encouraging the formation of more such groups to build organizational capacity and confidence. Support includes facilitating training for women-based village savings and loan associations.

Cite the original document

APA
Mirza, H., Pringle, D., & McConnell, C. (2024). VOICES FROM THE FIELD Ghana. International Institute for Sustainable Development. https://www.iisd.org/system/files/2024-11/responsible-agricultural-investment-ghana-voices.pdf
Chicago
Mirza, Hafiz, Duncan Pringle, and Claire McConnell. VOICES FROM THE FIELD Ghana. International Institute for Sustainable Development, 2024. https://www.iisd.org/system/files/2024-11/responsible-agricultural-investment-ghana-voices.pdf.
Wikipedia
{{cite report |last1=Mirza |first1=Hafiz |last2=Pringle |first2=Duncan |last3=McConnell |first3=Claire |title=VOICES FROM THE FIELD Ghana |publisher=International Institute for Sustainable Development |date=November 2024 |url=https://www.iisd.org/system/files/2024-11/responsible-agricultural-investment-ghana-voices.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{mirza2024voices, author = {Mirza, Hafiz and Pringle, Duncan and McConnell, Claire}, title = {{VOICES FROM THE FIELD Ghana}}, institution = {International Institute for Sustainable Development}, year = {2024}, month = nov, url = {https://www.iisd.org/system/files/2024-11/responsible-agricultural-investment-ghana-voices.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }

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