cocoa smuggling

In Ghana, transporting or selling cocoa without the authorisation of COCOBOD is prohibited under section 317 of the Criminal Offences Act 1960 (Act 29). Additionally, Ghanaian cocoa must be inspected, graded, and sealed by a government inspector before it can be exported, per section 3 of the Cocoa Industry Regulations Act, 1968 (NLCD278). The supreme authority of COCOBOD over cocoa-related matters is enshrined by the Ghana Cocoa Board Act, 1984 (PNDCL81).{{cite news |last=Awal |first=Mohammed |title=COCOBOD intensifies crackdown on cocoa smuggling syndicates |url=https://thebftonline.com/2024/05/03/cocobod-intensifies-crackdown-on-cocoa-smuggling-syndicates-2/ |access-date=23 July 2024 |work=Business and Financial Times |date=3 May 2024 |archive-date=23 July 2024 |archive-url=https://web.archive.org/web/20240723213734/https://thebftonline.com/2024/05/03/cocobod-intensifies-crackdown-on-cocoa-smuggling-syndicates-2/ |url-status=live }}{{cite news |title=Soldiers arrest police inspector, 4 others for attempted smuggling of 231 bags of cocoa |url=https://www.ghanaweb.com/GhanaHomePage/NewsArchive/Soldiers-arrest-police-inspector-4-others-for-attempted-smuggling-of-231-bags-of-cocoa-1931204 |access-date=24 July 2024 |work=GhanaWeb |date=16 May 2024 |archive-date=21 May 2024 |archive-url=https://web.archive.org/web/20240521022721/https://www.ghanaweb.com/GhanaHomePage/NewsArchive/Soldiers-arrest-police-inspector-4-others-for-attempted-smuggling-of-231-bags-of-cocoa-1931204 |url-status=live }}{{cite news |title=Another group of cocoa smuggling syndicate busted |url=https://thechronicle.com.gh/another-group-of-cocoa-smuggling-syndicate-busted/ |access-date=23 July 2024 |work=The Ghanaian Chronicle |date=17 May 2024 |archive-date=23 July 2024 |archive-url=https://web.archive.org/web/20240723213417/https://thechronicle.com.gh/another-group-of-cocoa-smuggling-syndicate-busted/ |url-status=live }}

Côte d'Ivoire and Ghana are the world's largest and second largest cocoa producers, respectively, and cocoa exports make up a significant portion of both countries' economies.{{cite news |last=Nunoo |first=Chris |title=President {{sic|inaugurate|nolink=y}} headquarters of Côte d'Ivoire-Ghana Cocoa Initiative |url=https://www.graphic.com.gh/news/general-news/president-inaugurate-headquarters-of-cote-divoire-ghana-cocoa-initiative.html |access-date=6 July 2024 |work=Daily Graphic |date=20 April 2024}}{{cite news |last=Hale |first=Kori |title=Cocoa Prices Retreat Nearly 20% Impacting Africa's Leading Exporters |url=https://www.forbes.com/sites/korihale/2024/05/23/cocoa-prices-retreat-nearly-20-impacting-africas-leading-exporters/ |access-date=27 July 2024 |work=Forbes |date=23 May 2024 |language=en}} The Ivorian and Ghanaian governments purchase cocoa from their farmers at a fixed price based to some extent on the average market price.{{cite news |title=Ivory Coast seizes 100 tons of cocoa at the border with Guinea |url=https://www.reuters.com/world/africa/ivory-coast-seizes-100-tons-cocoa-border-with-guinea-2024-02-16/ |access-date=23 July 2024 |work=Reuters |date=16 February 2024}}{{cite news |last=Adombila |first=Maxwell Akalaare |title=Low prices, pay delays drive Ghana cocoa farmers to smugglers |url=https://www.reuters.com/world/africa/low-prices-pay-delays-drive-ghana-cocoa-farmers-smugglers-2024-07-09/ |access-date=23 July 2024 |work=Reuters |date=9 July 2024}} However, these fixed prices are updated periodically and do not match the pace of inflation or market fluctuations caused by economic shocks. As a result, cocoa farmers may endure rising production costs while not benefitting from increases in the global price for cocoa.{{cite news |title=Ghana's cocoa farmers turn to smuggling as currency falls |url=https://www.france24.com/en/live-news/20240625-ghana-s-cocoa-farmers-turn-to-smuggling-as-currency-falls |access-date=23 July 2024 |work=Agence France-Presse |via=France 24 |date=25 June 2024 |language=en}} Farmers may also be compelled to smuggle their cocoa when their country is going through a currency crisis, as they can earn higher real revenues by receiving payments in foreign currencies.{{cite news |last=Hoke |first=Zlatica |editor-last1=Cruise |editor-first1=Christopher |editor-last2=Weaver |editor-first2=Caty |title=Cocoa Smuggling Increases in West Africa |url=https://learningenglish.voanews.com/a/cocoa-smuggling-increases-in-west-africa/2459687.html |access-date=23 July 2024 |work=Voice of America |date=24 September 2014 |language=en |archive-date=23 July 2024 |archive-url=https://web.archive.org/web/20240723210333/https://learningenglish.voanews.com/a/cocoa-smuggling-increases-in-west-africa/2459687.html |url-status=live }}

Cocoa smuggling reduces the amount of cocoa that the Ghanaian government can sell to foreign buyers and consequently the amount of the foreign currency it receives. Cocoa exports provide a consistent, reliable flow of foreign currency to Ghana's national reserves.{{cite news |last=Dontoh |first=Ekow |title=Ghana Cocoa Output Heads for 14-Year Low Over Smuggling, Weather |url=https://www.bloomberg.com/news/articles/2024-02-21/ghana-cocoa-output-heads-for-14-year-low-over-smuggling-weather |access-date=23 July 2024 |work=Bloomberg News |date=21 February 2024 |language=en}}{{cite news |title=Illegal mining, smuggling threaten Ghana's cocoa industry |url=https://www.france24.com/en/live-news/20231220-illegal-mining-smuggling-threaten-ghana-s-cocoa-industry |access-date=23 July 2024 |work=Agence France-Presse |via=France 24 |date=20 December 2023 |language=en |archive-date=23 July 2024 |archive-url=https://web.archive.org/web/20240723212804/https://www.france24.com/en/live-news/20231220-illegal-mining-smuggling-threaten-ghana-s-cocoa-industry |url-status=live }} COCOBOD estimated that Ghana had lost 200,000 and 150,000 metric tonnes of cocoa to smuggling in 2022 and 2023, respectively.{{cite news |title=Cocoa smuggling causes Ghana to lose nearly 200,000 metric tonnes of cocoa beans – COCOBOD |url=https://www.ghanaweb.com/GhanaHomePage/business/Cocoa-smuggling-causes-Ghana-to-lose-nearly-200-000-metric-tonnes-of-cocoa-beans-COCOBOD-1842605 |access-date=27 July 2024 |work=GhanaWeb |date=12 September 2023}}{{cite news |last=Olphand |first=Marie-Pierre |title=Contrebande de cacao: l'inquiétude monte en Côte d'Ivoire |trans-title=Cocoa smuggling: Concern grows in Ivory Coast |url=https://www.rfi.fr/fr/podcasts/chronique-des-mati%C3%A8res-premi%C3%A8res/20231224-contrebande-de-cacao-l-inqui%C3%A9tude-monte-en-c%C3%B4te-d-ivoire |access-date=28 July 2024 |work=Radio France Internationale |date=24 December 2023 |language=fr |archive-date=28 July 2024 |archive-url=https://web.archive.org/web/20240728080728/https://www.rfi.fr/fr/podcasts/chronique-des-mati%C3%A8res-premi%C3%A8res/20231224-contrebande-de-cacao-l-inqui%C3%A9tude-monte-en-c%C3%B4te-d-ivoire |url-status=live }} Cocoa smuggling was a contributing factor to the cocoa crisis of 2024.{{Cite news |last=Spencer-Jolliffe |first=Natasha |date=July 23, 2024 |title=Cocoa crisis: Ghana's output almost halves |url=https://www.confectionerynews.com/Article/2024/07/23/Cocoa-crisis-Ghana-s-output-almost-halves/ |url-status=live |archive-url=https://web.archive.org/web/20241225171649/https://www.confectionerynews.com/Article/2024/07/23/Cocoa-crisis-Ghana-s-output-almost-halves/ |archive-date=December 25, 2024 |access-date=January 30, 2025 |work=Confectionery News}}

The Ghanaian government has taken a number of countermeasures to prevent and stop cocoa smuggling in the country. COCOBOD's National Anti-Cocoa Smuggling Task Force is responsible for apprehending cocoa smugglers in Ghana.{{cite news |title=634 bags of cocoa confiscated in a smuggling bust |url=https://www.ghanaweb.com/GhanaHomePage/NewsArchive/634-bags-of-cocoa-confiscated-in-a-smuggling-bust-1929696 |access-date=23 July 2024 |work=GhanaWeb |date=8 May 2024}} Individuals found guilty of cocoa smuggling face a minimum sentence of five years in prison and a maximum of ten. Licensed Buying Companies{{snd}}organisations authorised by COCOBOD to purchase cocoa from farmers on its behalf{{snd}}lose their licence if found complicit in cocoa smuggling.{{cite news |title=COCOBOD to revoke licenses of LBCs involved in cocoa smuggling |url=https://cocobod.gh/news/cocobod-to-revoke-licenses-of-lbcs-involved-in-cocoa-smuggling |access-date=23 July 2024 |work=Ghana Cocoa Board |date=7 June 2024}} Amid a financial crisis in June 2024, the Ghanaian government increased its fixed price for cocoa by 58.26% to US$2,188 (GH₵33,120) per tonne. In September 2024, COCOBOD requested assistance from the Ministry of Defence in combatting cocoa smuggling. A new anti-cocoa smuggling initiative was subsequently announced, led by the Ghana Armed Forces.{{cite news |title=Russian government responsible for cocoa smuggling in Africa – COCOBOD CEO |url=https://www.ghanaweb.com/GhanaHomePage/business/Russian-government-responsible-for-cocoa-smuggling-in-Africa-COCOBOD-CEO-1949644 |access-date=10 September 2024 |work=GhanaWeb |date=8 September 2024}}

In 2018, the Ivorian government passed a law which imposed a maximum sentence of ten years in prison and a fine of 50 million West African francs on those found guilty of agricultural smuggling.{{cite news |title=Côte d'Ivoire: une loi pour lutter contre la contrebande de produits agricoles |trans-title=Ivory Coast: a law to combat the smuggling of agricultural products |url=https://www.rfi.fr/fr/afrique/20180505-cote-ivoire-une-loi-lutter-contre-contrebande-produits-agricoles |access-date=1 August 2024 |work=Radio France Internationale |date=5 May 2018 |language=fr}}{{cite news |last=Ben Said |first=Esma |title=La Côte d'Ivoire durcit sa loi sur la contrebande des produits agricoles |trans-title=Ivory Coast toughens its law on smuggling of agricultural products |url=https://www.aa.com.tr/fr/afrique/la-c%C3%B4te-d-ivoire-durcit-sa-loi-sur-la-contrebande-des-produits-agricoles-/1135992 |access-date=1 August 2024 |work=Anadolu Agency |date=5 May 2018 |language=fr |archive-date=1 August 2024 |archive-url=https://web.archive.org/web/20240801054653/https://www.aa.com.tr/fr/afrique/la-c%C3%B4te-d-ivoire-durcit-sa-loi-sur-la-contrebande-des-produits-agricoles-/1135992 |url-status=live }} 2023, the Ivorian government closed all cocoa warehouses and collection centers within {{convert|10|km}} of the country's western and eastern borders, in an attempt to curb cocoa smuggling. It also announced reforms to a 200-strong Ivorian gendarmerie dedicated to fighting against agricultural smuggling.{{cite news |last1=Prabonnaud |first1=F. |last2=Guillaume |first2=M. |last3=Sane |first3=S. |title=Côte d'Ivoire: au cœur du trafic de cacao |trans-title=Côte d'Ivoire: At the Heart of Cocoa Trafficking |url=https://www.francetvinfo.fr/monde/afrique/economie-africaine/cote-d-ivoire-au-c-ur-du-trafic-de-cacao_6406294.html |access-date=28 July 2024 |work=France Info |date=5 March 2024 |language=fr-FR |archive-date=29 July 2024 |archive-url=https://web.archive.org/web/20240729052950/https://www.francetvinfo.fr/monde/afrique/economie-africaine/cote-d-ivoire-au-c-ur-du-trafic-de-cacao_6406294.html |url-status=live }} In 2024, the Ivorian government began distributing electronic identification cards for cocoa producers in anticipation of a future tracking system for the country's cocoa supply chain. It claims to have distributed 730,000 such cards {{as of|2024|4|23|lc=y}}, and the system is set to be operational by 1 October 2024.{{cite news |last=Konate |first=Dialla |title=Du cacao produit au Liberia alimente illégalement la production ivoirienne |trans-title=Cocoa produced in Liberia illegally supplies Ivorian production |url=https://www.lemonde.fr/afrique/article/2024/04/23/du-cacao-produit-au-liberia-alimente-illegalement-la-production-ivoirienne_6229431_3212.html |access-date=28 July 2024 |work=Le Monde |date=23 April 2024 |language=fr}}

File:Ouvrier du domaine du Cacao ivoirien 02.jpg

Ghana suffered a financial crisis in 2014, during which many cocoa farmers smuggled their crop into Côte d'Ivoire to earn more money. The Ghanaian cedi had depreciated in value, making it more profitable to sell cocoa for West African francs in Côte d'Ivoire.{{cite news |last1=Anderson |first1=Mark |last2=McTernan |first2=Billie Adwoa |title=Ghana's cocoa farmers turn to smuggling as profits dwindle |url=https://www.theguardian.com/global-development/2014/aug/13/ghana-cocoa-farmers-smuggling-profits-dwindle |access-date=23 July 2024 |work=The Guardian |date=13 August 2014 |archive-date=21 August 2024 |archive-url=https://web.archive.org/web/20240821021245/https://www.theguardian.com/global-development/2014/aug/13/ghana-cocoa-farmers-smuggling-profits-dwindle |url-status=live }} In the years preceding the financial crisis in Ghana, it was more profitable for Ivorian farmers to sell their cocoa in Ghana because the Ghanaian government guaranteed a higher fixed price for cocoa than their Ivorian counterparts.{{cite news |last=Bony |first=Valérie |title=Contrebande de cacao entre le Ghana et la Côte d'ivoire |trans-title=Cocoa smuggling between Ghana and Ivory Coast |url=https://www.bbc.com/afrique/region-42454741 |access-date=28 July 2024 |work=BBC News |date=22 December 2017 |language=fr |archive-date=21 August 2024 |archive-url=https://web.archive.org/web/20240821021229/https://www.bbc.com/afrique/region-42454741 |url-status=live }} In 2024, cocoa smuggling surged once again in Ghana due to another financial crisis and a rising market price for cocoa outside of the country, particularly in neighbouring Togo.{{cite news |last1=Dontoh |first1=Ekow |title=Ghana Considers Hiking Cocoa Farmgate Price to Curb Smuggling |url=https://www.bloomberg.com/news/articles/2024-04-03/ghana-considers-hiking-cocoa-farmgate-price-to-curb-smuggling |access-date=23 July 2024 |work=Bloomberg News |date=3 April 2024 |language=en}}

Ghana saw a rise in cocoa smuggling to Togo during a financial crisis in 2024. On 8 May, a truck carrying 130 bags of cocoa covered in wood chippings was intercepted by police in the Kwahu South District of the Eastern Region. The truck's driver and his passenger were arrested.{{cite news |last=Sam |first=Stacey |title=Eastern Region: Taskforce seizes 130 bags of smuggled cocoa beans |url=https://www.asaaseradio.com/eastern-region-taskforce-seizes-130-bags-of-smuggled-cocoa-beans/ |access-date=23 July 2024 |work=Asaase Radio |date=8 May 2024 |archive-date=21 August 2024 |archive-url=https://web.archive.org/web/20240821021250/https://www.asaaseradio.com/eastern-region-taskforce-seizes-130-bags-of-smuggled-cocoa-beans/ |url-status=live }} A week later, on 15 May, Ghanaian soldiers patrolling near Kpong Dam intercepted a truck carrying 231 bags of cocoa hidden under animal feed. Four people inside the truck and a police inspector who was escorting the truck were arrested. On 17 May, the circuit court of Odumase Krobo handed prison sentences ranging from five to seven years to three people found guilty of being involved in cocoa smuggling.{{cite news |last=Dzakpata |first=Fred |title=Court jails driver five years, fines teacher for attempting to smuggle cocoa |url=https://www.asaaseradio.com/court-jails-driver-five-years-fines-teacher-for-attempting-to-smuggle-cocoa1/ |access-date=23 July 2024 |work=Asaase Radio |date=17 May 2024 |archive-date=23 July 2024 |archive-url=https://web.archive.org/web/20240723213734/https://www.asaaseradio.com/court-jails-driver-five-years-fines-teacher-for-attempting-to-smuggle-cocoa1/ |url-status=live }}{{cite news |title=Man Jailed 7 Years in Ghana For Cocoa Smuggling |url=https://thecocoapost.com/man-jailed-7-years-in-ghana-for-cocoa-smuggling/ |access-date=24 July 2024 |work=Cocoa Post |date=29 April 2024 |archive-date=24 July 2024 |archive-url=https://web.archive.org/web/20240724001029/https://thecocoapost.com/man-jailed-7-years-in-ghana-for-cocoa-smuggling/ |url-status=live }}

Guinea and Liberia are the primary countries for cocoa smuggled from and to Côte d'Ivoire.{{cite news |title=Hausse de la contrebande de cacao ivoirien vers la Guinée et le Liberia |trans-title=Increase in smuggling of Ivorian cocoa to Guinea and Liberia |url=https://www.agenceecofin.com/cacao/2404-118125-hausse-de-la-contrebande-de-cacao-ivoirien-vers-la-guinee-et-le-liberia |access-date=28 July 2024 |work=Agence Ecofin |date=24 April 2024 |language=fr-FR |archive-date=24 April 2024 |archive-url=https://web.archive.org/web/20240424150852/https://www.agenceecofin.com/cacao/2404-118125-hausse-de-la-contrebande-de-cacao-ivoirien-vers-la-guinee-et-le-liberia |url-status=live }} A report by the Ivorian NGO Initiatives for Community Development and Forest Conservation (IDEF), published on 22 April 2024, claimed that a significant amount of cocoa circulating in Côte d'Ivoire's western supply chain had come from neighbouring Liberia. However, the IDEF did not provide the CCC with specific numbers when asked.

In September 2024, COCOBOD CEO Joseph Boahen Aidoo accused the Russian government of being involved in cocoa smuggling through illegal purchases by the Wagner Group in neighbouring countries.

• Cocoa production in Côte d'Ivoire
• Cocoa production in Ghana
• {{annotated link|Côte d'Ivoire–Ghana Cocoa Initiative}}

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Category:Cocoa production

Category:Smuggling

Category:Ghana–Ivory Coast relations

Category:Ghana–Togo relations

Category:Guinea–Ivory Coast relations

Category:Ivory Coast–Liberia relations