Ghana is making significant progress in improving its cocoa industry through the implementation of the Cocoa Management System (CMS).
The Cocoa Management System (CMS) aims to streamline operations and ensure compliance with the European Union's deforestation regulations. It includes a comprehensive database that catalogs information about Ghana's cocoa farmers, facilitates payments for cocoa beans, and implements a pension scheme for farmers.
The CMS is crucial for Ghana to meet the EU's environmental standards, as a significant portion of the country's cocoa output is exported to the EU.
The Ghana Cocoa Traceability System (GCTS) is an important part of the CMS. It connects data on forest cover with cocoa cultivation to assess deforestation risks.
The development and operationalization of these systems have required a financial commitment of over €50 million. Ghana secured a $600 million loan in 2019 to enhance cocoa productivity, with contributions from the African Development Bank and private investment banks. The EU has also committed €15 million to support Ghana's green transition and agribusiness programs.
Ghana has successfully mapped over 1.2 million hectares of cocoa farms and registered nearly 793,000 farmers. This data-driven strategy not only addresses deforestation but also lays the foundation for climate-smart agriculture, combating child labor, and improving agricultural practices.
Compliance efforts in Ghana and Tanzania will have long-term benefits, including more effective agricultural practices, enhanced productivity, and improved livelihoods for farmers.
Switzerland is providing financial support through the Green Commodities Programme to promote sustainable agricultural production in Ghana and other countries.
The strategic development of the CMS and associated initiatives will shape the future of Ghana's cocoa industry, ensuring its long-term viability.