They Say Farmers Are Underpaid. So Why Does Cheaper Cocoa Bring Such Relief?
The cocoa market has swung from record highs—above $4,000 per metric ton—to a sharp decline, leaving Ghanaian and Ivorian farmers unpaid for delivered beans. While chocolate makers scramble to cut margins, shrink bar sizes, or substitute ingredients, smallholder growers remain stuck with low farmgate prices and debt cycles. The industry’s relief at cheaper cocoa highlights a paradox: farmers are portrayed as underpaid, yet lower prices are welcomed as a cost‑saving boon. Tony’s Chocolonely stands out by pledging to use the price drop to strengthen farmer support rather than boost profits.
Re: Dear Kwame: Cocoa Trade Letters #1
The article uses Salomey’s experience in Ghana to illustrate a systemic cash‑flow squeeze at the farmgate of the cocoa trade. Farmers deliver beans, yet payments are delayed because the state‑run marketing board routes sales through a long, opaque export chain....