A sharp collapse in global cocoa prices has left beans rotting in warehouses and left many cocoa farmers in Ghana and the Ivory Coast struggling economically, despite both countries supplying nearly 70 % of the world’s cocoa.
The steep price drop from historic highs to much lower levels has pushed some farmers to lease their land for sand or gold mining just to make ends meet, even though those activities damage farmland, according to the Associated Press.
Governments have cut fixed farmgate prices to try to revive buyer interest, but many farmers haven’t been paid, and profit margins remain slim, highlighting how vulnerable smallholders are to volatile commodity markets and climate‑related yield declines. The AP writes:
Manu Yaw Fofie was born into the cocoa farming business, but the land bequeathed to him has become more of a burden than a blessing. A sharp fall in cocoa prices over the past year has left beans rotting in some West African warehouses, while global chocolate makers scramble for supplies and consumers seek their fix.
With less money coming in, the 52-year-old Fofie in Ghana has taken the desperate step of giving part of his land to illegal sand miners, a lucrative practice driven by high construction demand since sand is used in concrete.
The cost is severe, however: the sand mining makes the land infertile. […]
“Today, gold is more profitable than cocoa,” he said. “We get 1,500 CFA francs ($2.67) per gram of gold, and we’re about to negotiate an increase.” […]
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