Ivory Coast, the world’s largest cocoa producer, has significantly increased the fixed price paid to cocoa farmers for the upcoming 2024/25 season.
The government has raised the farmgate price by 20% to 1,800 CFA francs ($3.09) per kilogram.
The decision comes in response to a 25% decline in cocoa production in West Africa, including Ivory Coast, during the previous season.
To incentivize farmers and maintain production levels, Ivory Coast and Ghana, the two largest cocoa producers in the region, have coordinated their pricing strategies.
Ghana, too, has implemented a substantial price increase, raising its farmgate price by nearly 45% to 48,000 cedis ($3,043.75) per metric ton.
Additionally, Ivory Coast has increased the guaranteed minimum price for coffee farmers to encourage production.
These price hikes aim to boost farmer incomes and ensure a sustainable future for the cocoa sector in West Africa.