Licensed Cocoa Buyers (LCBs) in the country are appealing to the government for urgent financial support to help them settle a massive $750 million debt owed to banks.
The debt, accumulated as part of their operations to support the cocoa industry, is now creating a financial strain, and the LCBs are seeking a bailout to ensure they can continue their vital work in the sector.
According to Samuel Adimado, the President of the Licensed Cocoa Buyers, this bailout would allow them to effectively fulfill their mandate and help stabilize the industry. The LCBs have long played an important role in Ghana’s cocoa economy, managing the buying, financing, and marketing of cocoa beans.
“We are currently facing a significant debt burden of $750 million, and it is crucial that the government steps in to help us resolve this issue. With the bailout, we can continue our work without disruptions and meet the demands of the farmers and the banks alike,” Adimado said in a recent interview on TV3.
Despite the sizeable debt, Adimado reassured the public, particularly cocoa farmers, that the situation is not yet a cause for panic.
He emphasized that the LCBs are committed to resolving the crisis and that this is just a temporary challenge that the sector is facing. “The debt is not a panicking situation. Our business with the banks is valued at 34 billion cedis, so we are focused on addressing the challenges that have come up and planning for a more stable future,” he explained.
