2021/2022 Cocoa Season: Stakeholders tasked to ensure Transparency in Freight rate

Industry players in the Cocoa value chain have been urged to ensure a competitive, transparent and effective cocoa freight rate for the 2021/2022 cocoa season.

The Deputy Minister for Transport, Frederick Obeng Adom, made the call at the 2021/2022 Annual Cocoa Freight Negotiation Conference in Accra on Friday, September 10, 2021.

According to him, the cocoa sector played an essential role in Ghana’s economy in terms of revenue mobilization, employment opportunities and improves living conditions, hence the need for transparency.

The cocoa freight charges would be reached at the end of the negotiations conference and after players have brainstormed all issues for collective benefits.

The Minister said the government had begun expansion of infrastructure at the Tema and Takoradi Ports container terminals to accommodate larger vessels following the significant increase of volumes of Ghana’s seaborne trade over the last few years.

For instance, Mr. Adom said data indicates that the shipment of volumes of goods have increased from 15.8 million metric tonnes to 26.4 million in 2020, which he noted called for greater works at the ports.

While commending the digitization of the Tema Port Operation which he believed would provide effective and efficient competitiveness at the ports, the Deputy Minister also mentioned the Takoradi Port Masterplan Expansion programme with multipurpose container terminal as measures put in place by the government to ensure efficiency and making Ghana the hub of seaborne trade in the sub-region.

The Chief Executive of the Ghana Shippers’ Authority (GSA), Benonita Bismarck, emphasized the need for stakeholders in the shipping industry to take advantage of digitization platforms to improve upon effective and efficient service.

According to the GSA Boss, a multi-stakeholder committee had been constituted to ensure standard procedures in daily business activities at the ports.

Managing Director of Cocoa Marketing Company Limited (CMCL), Vincent Okyere Akomeah, assured of the Company’s readiness to provide quality services in terms of warehousing, marketing and distribution of the country’s cocoa beans.

He explained that notwithstanding the challenges posed by the COVID-19 pandemic; the 2020/2021 cocoa season had been good, having recorded the highest cocoa production in the countries with 1.2 million metric tonnes.

Akomeah disclosed that the Cocoa Marketing Company is restructuring its operations to meet the demands of its customers due to the global pandemic.

The Cocoa Freight Negotiation Conference is taking place in Ghana for the third time since the event started in over two decades.

It provides the biggest platform for stakeholders in the cocoa value chain to negotiate acceptable cocoa freight rates across all destinations.

The 2020/2021 cocoa freight rates were pegged at £30 per tonne to the United Kimgdom, £49 to Northern Continent, £56 to Estonia, €55 to Mediterranean Europe, $94 to the Far East and $103 to Brazil.

By Felix Nyaaba