Ivory Coast: Government launches cocoa buyback scheme
The Coffee and Cocoa Council of Ivory Coast has initiated a program to purchase cocoa beans to ensure producers receive payment. The sector is facing challenges due to accumulating cocoa stocks within cooperatives across the country.
The Coffee and Cocoa Council of Ivory Coast has initiated a program to purchase cocoa beans to ensure producers receive payment. The sector is facing challenges due to accumulating cocoa stocks within cooperatives across the country.
Yves Brahima Koné, Director General of the Coffee and Cocoa Council, identified two primary issues impacting the sector: logistical problems at the ports and liquidity constraints. Ships arriving at the port of Abidjan are delayed, affecting the timely collection of available production. Additionally, liquidity issues have disrupted the payment process within the commercialization chain, leading to a slowdown in national sales activities.
In response to a decline in global cocoa prices, exporters have halted bean purchases. The government's buyback initiative aims to mitigate a potential social crisis, as a significant portion of the population relies on cocoa for their livelihood.
The Coffee and Cocoa Council of Ivory Coast has initiated a program to purchase cocoa beans to ensure producers receive payment.
Koné assured that growers will receive the official government-set price under this scheme. The program is projected to cost approximately 280 billion CFA francs.
Up to 100,000 tons of cocoa are expected to be purchased by the end of March. The initial phase involves buying and storing the beans. The subsequent phase will focus on exporting the stockpile, with the Coffee and Cocoa Council ready to sell quickly if buyers show interest.
Based on reporting by Africanews.
