President John Dramani Mahama has stated that he personally understands the impact of the cocoa sector’s financial challenges, declaring, “I am a cocoa farmer so the haircut affects me too.”

Mahama’s Comment on Cocoa ‘Haircut’

The President made the remark after revealing that he had already sold his own cocoa before the implementation of the controversial cocoa “haircut” policy. His comment appears to acknowledge the burden placed on cocoa farmers following financial restructuring measures affecting cocoa-related bonds and payments.

The term “haircut” gained prominence during Ghana’s debt restructuring programme, which impacted several financial instruments tied to the cocoa sector. Many farmers and stakeholders have since expressed concerns about delayed payments and reduced financial returns.

Cocoa Farmers React

Ghana remains one of the world’s largest cocoa producers, with thousands of farmers depending on the crop as their primary source of livelihood. The sector is overseen by the Ghana Cocoa Board (COCOBOD), which regulates production, pricing, and export.

Farmers have consistently called for stable pricing, timely payments, and greater transparency in the handling of cocoa-related financial instruments.

Political and Economic Context

The cocoa “haircut” forms part of broader economic recovery efforts introduced during Ghana’s debt restructuring programme under the supervision of the International Monetary Fund (IMF) support framework.

President Mahama’s comment has sparked discussion among farmers and political observers, with some interpreting it as a gesture of solidarity, while others see it as a reflection of the broader economic strain affecting both leaders and ordinary citizens alike.

As debates continue, stakeholders in the cocoa value chain are expected to push for long-term reforms to safeguard the livelihoods of Ghanaian farmers.

Source: Public statement by President John Dramani Mahama