Ghana Cocoa Board (COCOBOD) has announced a salary cut for some staff members and top management as part of efforts to resolve its cash flow challenges.

The announcement was contained in a formal press release issued by the Chief Executive, Dr Ransford A. Abbey, and dated Monday, February 16.

The release noted that the cuts were to take effect on the same day the announcement was made, explaining that the leaders of the government's cocoa regulating agency for the remainder of the 2025/26 crop year

According to the statement, “The Executive Management and the Senior Staff of COCOBOD have, effective today, Monday, February 16, 2026, reduced their salaries for the remainder of the 2025/26 crop year in recognition of the current liquidity challenges in the cocoa industry.”

It continued that “The Executive Management has taken a twenty (20) percent cut, while the Senior Staff have taken a ten (10) percent reduction in their respective salaries” as part of a broader cost-containment measure aimed at aligning expenditure with revenue.

Management indicated that additional steps, “ other cost-cutting measures in procurement and a staff rationalisation exercise are aimed at reducing the overall expenditure of COCOBOD and aligning costs with revenue.”

Meanwhile, the statement didn’t disclose how much the salary cuts will save the sector or the size of the liquidity gap.

The announcement comes at a time of heightened strain in the cocoa industry, marked by rising operational costs, financing pressures, concerns over farmer welfare, and intensified public scrutiny over cocoa pricing and COCOBOD’s financial position.

In recent weeks, the sector has been at the centre of national debate, particularly over producer prices and the sustainability of cocoa farming.

Industry observers have also pointed to the heavy financing burden associated with cocoa purchases, operational commitments, and exposure to global price volatility.

Meanwhile, on February 12, the government announced a 28% cut in farmgate prices for cocoa.

At the start of the 2025/26 cocoa season (August 2025), the producer price was GH¢51,660 per tonne (about GH¢3,625 per 64kg bag).

However, the government announced a cut to GH¢41,392 per tonne (GH¢2,587 per bag), explaining that the move was due to a sharp fall in global cocoa prices and liquidity pressures within COCOBOD.

The price cuts have been met with widespread disapproval, discontent and anger, particularly from cocoa farmers and other stakeholders. Cocoa farmers say the cuts will only worsen their already difficult situation with rising input costs.

Other farmers have expressed that the reduction will push many of them into poverty and force others to quit cocoa production.

On the other hand, the Minority in Parliament have also strongly condemned the cuts, labelling it as “a betrayal of cocoa farmers.” According to them, this decision by the government is a move to short-change farmers; consequently, they are demanding that the producer price be restored to GH¢51,660 per tonne.

They also called for the dismissal of COCOBOD’s Chief Executive, Dr. Randy Abbey, arguing that the government should have absorbed the financial pressures instead of passing them on to farmers.

“This places an unfair burden on our cocoa farmers, who are already struggling with rising costs,” said Mr Kojo Oppong Nkrumah, Ranking Member on Parliament’s Economy and Development Committee.

“The minority will not remain silent on this matter, and we are prepared to support farmers should they decide to protest against the reduction in the producer’s price,” he said at a press conference in Parliament House, Accra.

The Minority’s demand for Dr. Abbey’s dismissal is not new, as a petition was filed with President Mahama on Monday, February 9, 2026, accusing the COCOBOD CEO of alleged gross incompetence, arrogance, and intimidation.

In addition the government has announced plans to absorb the outstanding $150 million financial loss incurred by the Ghana Cocoa Board (COCOBOD).

Addressing the media on Thursday, the Minister for Finance, Dr. Ato Forson, disclosed that the decision was reached after consultations with Cabinet.

He emphasised that all cocoa farmers who are yet to be paid would receive their outstanding payments in the coming days following the government’s intervention.

“Cabinet has directed COCOBOD to commence immediate payment of all affected cocoa farmers,” he said.

The Ghana Cocoa Board (COCOBOD) is dealing with about 50,000 metric tonnes of cocoa that remain unsold at the ports, while Licensed Buying Companies (LBCs) are owed roughly GH¢2.04 billion ($185 million) by the regulator.

Several farmers have gone without payment since November 2025, compelling many to cut down on meals, pull their children out of school, and neglect routine farm upkeep. The situation has further escalated, with reports indicating that some farmers have held purchasing clerks over unpaid cocoa transactions.

The delays in payment have been attributed to several issues, including the loss of international financial support, a disparity between Ghana’s farmgate pricing and the sharp drop in global cocoa prices, as well as inherited forward sales agreements signed when prices were significantly lower.

Under the planned reforms, the government intends to submit a new Cocoa Board bill to Parliament aimed at introducing an automatic system for adjusting producer prices.

The draft legislation seeks to synchronise cocoa producer prices with global market price trends, currency exchange fluctuations, and other essential indicators.

Importantly, the proposed bill will ensure that cocoa farmers receive no less than 70% of the gross FOB (Free on Board) price.

"Cabinet has therefore decided on the following reforms to guarantee a fair price to the cocoa farmer, secure the financial viability of the cocoa sector, and ensure the long-term sustainability of the cocoa industry," Dr Ato Forson stated.