BUSINEWS

COCOBOD CEO lied over cocoa forward sales – Minority

Published

2 weeks ago

November 21, 2023

BEN10

The Minority in Parliament has stated that the Chief Executive Officer (CEO) for COCOBOD, Joseph Boahen Aidoo has lied over Ghana’s 2023/24 cocoa forward sales.

The former President Mahama criticized government for shortchanging cocoa farmers by pegging the farm-gate price at a paltry GHS1,308 despite a 46-year record-high surge in the world market price.

In a so-called Open Letter to former President Mahama dated 12th September, 2023, the Chief Executive Officer of COCOBOD Joseph Boahen Aidoo, took issues with President Mahama. He questioned President Mahama’s understanding of how the producer price of cocoa is determined and claimed that the former President erroneously used $3,600 as the world market price to calculate the producer price.

In a statement signed by the ranking member Committee on Food and Agriculture in Parliament, Eric Opoku stated that the COCOBOD CEO peddled falsehood in his response to former President John Mahama on forward sales.

“Further information submitted to Parliament indicates that COCOBOD has already sold part of the remaining 63.8% of our cocoa output for the 2023/24 season at spot prices ranging between $3,500 and $3,770 per ton from October to mid-November 2023.

“Former President Mahama was spot on when he said that the insensitive Akufo-Addo/Bawumia government is shortchanging cocoa farmers whose toil and sacrifices continue to sustain the country’s economy,” Mr. Opoku stated.

He continued: “The incompetent and dishonest CEO of COCOBOD in his bid to deceive our hard-working farmers, threw truth and integrity to the dogs and sought to attack the credibility of President Mahama for exposing this grand heist.”

Below is the full statement from the Minority in Parliament

PRESS STATEMENT
For Immediate Release
21st November, 2023.

COCOBOD CEO LIED OVER COCOA FORWARD SALES; HE MUST RENDER AN UNQUALIFIED APOLOGY TO PRESIDENT MAHAMA IMMEDIATELY

The Minority in Parliament has come by indisputable evidence that exposes a blatant lie peddled by the Chief Executive Officer of COCOBOD, Joseph Boahen Aidoo, about Ghana’s 2023/24 cocoa forward sales.
It would be recalled that, shortly after the announcement of the farm-gate price of cocoa for the 2023/24 cocoa season, former President Mahama criticized the government for shortchanging cocoa farmers by pegging the farm-gate price at a paltry GHS1,308 despite a 46-year record-high surge in the world market price.
President Mahama’s comments were grounded on the fact that our hard-working cocoa farmers deserve far more of the international market price, than they were given by the insensitive Akufo-Addo/Bawumia government, particularly given the unbearable cost of living and hardships they currently reeling under.

However, in a so-called Open Letter to former President Mahama dated 12th September 2023, the Chief Executive Officer of COCOBOD Joseph Boahen Aidoo, took issues with President Mahama. He questioned President Mahama’s understanding of how the producer price of cocoa is determined and claimed that the former President erroneously used $3,600 as the world market price to calculate the producer price.
In that statement, the COCOBOD CEO claimed that consistent with practice, Ghana’s cocoa beans are “mostly sold forward”, and that “the 2023/24 crop was sold between October 2022 and March 2023 at international prices; ranging between $2,200 per ton and $2,400 per ton.” The incompetent and dishonest COCOBOD CEO went on to say that, “the international price of cocoa then began to increase in April 2023, when a greater percentage of the 2023/24 crop had already been sold.”
It has now emerged that the CEO of COCOBOD told deliberate falsehood in his desperate attempt to justify the rip-off that the Akufo-Addo/Bawumia government has meted out to our hard-working cocoa farmers.
According to documents submitted to Parliament by COCOBOD as part of processes for the approval of the syndicated loan for cocoa purchases for the 2023/24 crop season, it was disclosed that only 36.2% of our cocoa for this season was sold forward, and used as collateral to secure the $800 million syndicated loan.
Specifically, Paragraph 7.2 of the Joint Memorandum to Parliament by the Minister for Food and Agriculture and the Minister of Finance on the approval of the terms of the $800 million syndicated facility partly reads; “The facility does not add to Ghana’s debt stock. The loan is backed by cocoa sales contracts, and the quantity of cocoa collateralized for its repayment is about 36.20% of the anticipated production”.

For the avoidance of doubt, 36.2% of the projected cocoa output for the 2023/24 season translates to a paltry 307,700 tons. This volume of cocoa cannot by any stretch of the imagination constitute a “greater percentage” of our projected annual production volume (i.e. 850,000 tons) as claimed by the CEO of COCOBOD in his deceitful response to President Mahama.
Simply put, the incompetent and dishonest CEO of COCOBOD lied to the good people of Ghana when he claimed that a “greater percentage” of Ghana’s cocoa for the 2023/24 season was sold forward for $2,600.
COCOBOD further disclosed to Parliament that the remainder of 63.8% of our 2023/24 cocoa output, which translates to 542,300 tons would be sold on the market at spot prices, which have been ranging between $3,600 and $4,000. This is contained in paragraph 4.2 of the Joint Memorandum. If COCOBOD succeeds in selling the remainder at the minimum spot price of $3,600 per ton as a worst-case scenario, COCOBOD would have shortchanged our hard-working cocoa farmers to the tune of $542,300,000 (GHC6.5billion).
As a matter of fact, further information submitted to Parliament indicates that COCOBOD has already sold part of the remaining 63.8% of our cocoa output for the 2023/24 season at spot prices ranging between $3,500 and $3,770 per ton from October to mid-November 2023.
Clearly, Former President Mahama was spot on when he said that the insensitive Akufo-Addo/Bawumia government is shortchanging cocoa farmers whose toil and sacrifices continue to sustain the country’s economy.
The incompetent and dishonest CEO of COCOBOD in his bid to deceive our hard-working farmers, threw truth and integrity to the dogs and sought to attack the credibility of President Mahama for exposing this grand heist.
The Minority Group wishes to state for the records, that Joseph Boahen Aidoo has lied to cocoa farmers and the entire nation. He had no basis whatsoever to impugn ill motive into what was a statement of fact by the respected former President. He therefore owes President Mahama, hardworking cocoa farmers, and the entire nation an unqualified apology.
In the coming days, the Minority Group in Parliament shall in conjunction with the NDC Communications Bureau, embark on a series of engagements with cocoa farmers across the country on this subject. Our hard-working farmers deserve to know the whole truth about this gross injustice that has been meted out to them by the corrupt and insensitive Akufo-Addo/Bawumia/NPP government.

SIGNED.
HON. ERIC OPOKU
(MP for Asunafo South and Ranking Member for Food and Agriculture)

Source: Ghana/Starrfm.com.gh/103.5FM

BUSINEWS

More than 57% of Ghanaian workers do not enjoy employee benefits – Old Mutual study

Published

2 weeks ago

November 22, 2023

BEN10

A study conducted by pan-African investment and savings firm Old Mutual has revealed that more than half of Ghanaian workers (57%) sampled in a survey do not have or enjoy employee products from their employer.

It found that of those who have employee benefits, health insurance and retirement funds were the most prevalent benefits for most employees in Ghana.

“Health insurance leads in both the formal and informal sector, whilst retirement fund membership is much more notable in the formal sector (52% vs 7% informal). About half of the formal sector workers reported receiving financial information from their employers versus only 18% of informal sector workers, with most being indifferent on it being beneficial,” the study revealed.

Additional highlights of the annual report dubbed; Old Mutual Financial Services Monitor (OMFSM), revealed that financially distressed Ghanaians were higher among the lower income group (72%) and those in the informal sector representing (68%).

Meanwhile, the study indicated that less than 1 in 5 consumers had expressed confidence in the country’s economy.

“This low level of confidence is reflected across the surveyed countries in Africa, namely SA, Namibia, and Kenya,” the OMFSM survey explained.

When it came to financial priority, income security was identified as the top priority for most Ghanaians (as well as across the surveyed countries in Africa).

It further showed that with regards to income, 44% sampled in the survey indicated that they rely on a single source of income, while about 1 in 4 (24%) are PolyJobbers – side-hustling, freelancing, and doing after-hours work in addition to their regular job.

It noted that these PolyJobbers are more prevalent among those earning GH¢3000 or more (37%).

MA/NOQ

Source: www.ghanaweb.com

BUSINEWS

Deloitte Ghana makes 5 recommendations government can employ to grow the economy

Published

2 weeks ago

November 22, 2023

BEN10

The local economy took a downward trend in 2020 after the country was hit by the coronavirus pandemic.

The outbreak of the Russia-Ukraine war also affected the economy and the government in a bid to restore the economy on track ran to the International Monetary Fund (IMF) for a $3 billion financial bailout program.

Finance Minister, Ken Ofori-Atta, on Wednesday, November 15, 2023, presented the 2024 Budget Statement and Economic policy in parliament.

The Budget Statement was under the theme “pursuing growth & development within a stable macroeconomic environment”.

The budget reading was by Article 179 of the 1992 constitution and Section 21 of the Public Financial Management Act 2016 (Act 921).

Tax waivers for the local textile industry, agricultural machinery and vehicles, and inflation expected to remain within the IMF program’s Monetary Policy Consultation Clause (MPCC) of 29.4 percent, among others were some of the highlights of the budget presentation.

Speaking at the 5th edition of Deloitte Economic Dialogue in Accra on Wednesday, November 22, 2023, the Country Managing Partner of Deloitte Ghana, Daniel Kwadwo Owusu, gave 5 recommendations the government can adopt to grow and stabilize the economy.

According to him, the government can curb the high unemployment rate in the country due to the contraction of the industrial sector in 2023 by enhancing the agro-processing sector.

The sector, he said, needs to move to value addition to create employment opportunities for the teeming unemployed youth in the country.

Below are the 5 recommendations made by Deloitte Ghana:

Intentional focus on agric and industries

He called on the government to enhance agro-processing leading to value addition, industry growth, and employment opportunities for the youth.

Lack of stable currency affects planning and confidence in investment

According to Mr Owusu, currency stability is very crucial, therefore, the government needs to stabilize the currency as the industry looks forward to projections and investment decisions.

Halt harassment of industry players

Deloitte recommended an approach that identifies industries as partners in economic development.

Inflation

Sustain monetary and fiscal policy to keep moving inflation to the targeted levels.

Remove nuisance taxes

Remove some of the taxes that industries have termed nuisance taxes such as the COVID-19 levy.

Also, the government must consolidate indirect taxes into the VAT regime.

These when adopted, Mr Owusu said, will help build a better future for the local economy which will subsequently drive Ghana to a sustainable economic recovery.

SA/NOQ

Source: www.ghanaweb.com

BUSINEWS

Volta Fair: Unveiling the concealed beautiful bride

Published

2 weeks ago

November 22, 2023

BEN10

The Volta Trade and Investment Fair is a platform to reveal the hidden treasures of that eastern part of Ghana, aiming to attract capital for the overall growth of the national economy.

It is one of the country’s best-kept secrets that needs to be revealed as one of the best investment destinations, with vast fertile lands, extensive water bodies, captivating tourist sites, and richly diverse ethnic heritage.

To many, the Volta Region is a microcosm of Ghana because whatever is found in other parts of the country can be found in the Region.

Abundant Arable Land

Stretching from south to north, the Volta Region boasts expansive fertile land cultivating a variety of crops, from specialized ones like rice, shallots, carrots, lettuce, and cabbage, to staple tubers such as yam, cocoyam, and sweet potatoes.

Cash crops such as coconut, cocoa, coffee, cotton, and sugar cane are also grown in the Region. The potential for commercial farming is immense, with numerous untapped virgin lands capable of transforming into vital food sources, addressing even global food insecurity.

Diverse Water Bodies

The region is blessed with diverse water bodies, ranging from the pristine sea and clean beaches to lagoons, rivers, lakes, streams, and waterfalls. These bodies support essential economic activities such as fishing, aquaculture, irrigation, and water sports. The Volta Region’s water bodies not only yield delicacies renowned in Ghana but also present opportunities for expanding fish farming and fostering tourism along beautiful waterfronts. The Region is home to some of the biggest fish farms on the Volta Lake but that vast water body can accommodate a lot more.

Enchanting Tourist Attractions

The Volta Region unfolds with magnificent tourist destinations, from the majestic Afadza mountain in the north to the brook and feel of the gentle breeze of the coast. Amedzofe offers a heavenly view and fresh air, complemented by a newly constructed canopy walk by the Ote Falls, creating an unparalleled experience.

Notably, the region boasts the highest waterfall, Wli, and about 10 other falls, contributing to the awe-inspiring beauty of the landscape. The Region also boasts one of the best crocodile ponds located in Ave Dakpa, a monkey sanctuary in Tafi Atome, and a snake village at Liati Soba. The coast bears witness to historical landmarks related to the slave trade, adding another layer of cultural significance.

Cultural Wealth – Kete Weaving

The region is renowned for its kete (kente) designs, woven in towns such as Agbozume to the south, Agotime Kpetoe in the middle, and Tafi Abuife towards the north. Each town has a unique story behind its intricate designs, showcasing cultural richness and craftsmanship. These rich kete designs are completely priced thereby attracting many wholesalers from different parts of Ghana and beyond.

Rich Diversity

Contrary to popular belief, the Volta region is linguistically and culturally diverse, with various languages spoken by the natives, extending beyond the commonly known Ewe. There are languages such as Siyase spoken by the people of Avatime, Nyangbo-Tafi spoken by the people of Tafi, Ikpana spoken in Logba, and Adangbe spoken by the people of Agotime.

The region also embraces diverse religious practices, including Christianity, Islam, and various traditional beliefs, fostering an environment of cultural harmony. Some traditional worships such as Kunde in Kpando, and others in Klikor and Dagbamatey as well as the Roman Catholic Grotto in Kpando-Agbenorxe attract international visitors.

Why Volta Fair?

The Volta Fair catalyzes Ghana’s economic growth, offering a platform to raise awareness about the region’s vast investment potential. The fair has already seen successes, positioning the Volta Region as one of the preferred holiday destinations, attracting conferences, and generating interest from foreign investors in commercial farming and resort development.

Looking Forward

As the next Volta Trade and Investment Fair approaches, anticipation grows for a showcase of diverse products and services. This year, the exhibition is drawing interest from across the African continent, aligning with the African Continental Free Trade Agreement (AfCFTA). Municipal and district assemblies will have the opportunity during the fair to present their investment potential, in a bid to attract investors.

In the quest for economic growth and resource discovery, the Volta Region stands as a captivating bride, beckoning not only international suitors but also urging Ghanaians to explore and invest in their hidden gems.

Make time and visit Ho from the 26th of November to the 10th of December and be part of the Volta Fair. Visit Volta and Experience Ghana.

The article is by Fred Avornyo, a Marketing Communication Specialist and COO of Volta Fair.

frederickavor@gmail.com

Source: Frederick Avornyo