Accra: The Institute of Economic Research and Public Policy (IERPP) has urged the Mahama administration to stabilize the cocoa sector with lasting solutions, warning that the industry risks collapse if urgent steps are not taken. In a statement copied to media outlets by its Executive Director, Professor Isaac Boadi, the policy think tank observed that the sector is on the brink of collapse if the challenges confronting it are not addressed.
According to Ghana Web, Professor Boadi emphasized the necessity for immediate attention to the issues within the cocoa industry, advocating for long-term strategies to prevent potential collapse. He stressed the importance of government intervention with sustainable solutions to stabilize the sector.
Professor Boadi also highlighted the need for a review of the current payment model, cautioning that failure to address this could hasten the sector's decline. He pointed out that the financial constraints faced by COCOBOD contribute to recent unrest among cocoa farmers awaiting payment for their produce sold to the government. He called for a new funding and payment model to avert similar issues in the future.
Professor Boadi warned of dire consequences if cocoa farmers continue to express dissatisfaction over delayed payments. He noted the risk of farmers abandoning cocoa farming in favor of selling their land to illegal miners engaged in galamsey, which would have severe environmental and economic repercussions.
He conveyed that several farmers have already threatened to sell their cocoa farms to galamsey operators if the prevailing challenges remain unresolved, posing a significant threat to the country's cocoa production, foreign exchange earnings, and environmental sustainability.
In his concluding remarks, Professor Boadi urged the government to urgently engage with stakeholders and experts in the cocoa industry to develop lasting solutions to the sector's myriad challenges.