Cocoa export volumes drop 50% despite earnings – Auditor-General
Ghana recorded a significant decline in cocoa export volumes in 2024, even as total earnings from the commodity rose sharply, according to the latest Auditor-General’s report on the Bank of Ghana’s foreign exchange receipts and payments for the year ended December 31, 2024.
The country exported 261,248 tons of cocoa beans in 2024, down more than 50% from the 533,057 tons exported in 2023.
Exports of processed cocoa products, including butter, paste, and powder, also declined from 240,897 tons to 192,429 tons during the same period.
Despite the drop in volumes, total cocoa export receipts increased by 37.5%, rising from US$1.26 billion in 2023 to US$1.73 billion in 2024.
This windfall was largely due to higher global cocoa prices and steady demand for value-added products.
However, the report raised concerns over the sharp fall in inflows from syndicated cocoa loans, an essential source of financing for Ghana’s cocoa sector.
In 2024, syndicated loan receipts plummeted by over 92%, from US$681 million in 2023 to just US$50 million.
Notably, the US$50 million received was not from the standard pre-export syndicated facility, but from non-collateralised loan proceeds used to service COCOBOD’s debt interest obligations.
While the Bank of Ghana had projected cocoa receipts of about US$1 billion for the year, the actual receipts surpassed expectations, reaching US$1.73 billion, a positive variance of over US$734 million.
Cocoa accounted for 14.47% of Ghana’s total foreign exchange earnings of US$11.99 billion in 2024.
Still, the Auditor-General’s findings highlight a potential sustainability risk.
The impressive revenue performance was largely price-driven, masking the significant drop in production volumes.
If global prices fall, Ghana could see a sharp revenue contraction unless productivity improves.
The report also signals tighter financing conditions for the cocoa industry, which could hamper future investments in production and farmer support.
Without decisive action to boost output and strengthen sector resilience, the gains recorded in 2024 may prove short-lived.