Cocoa Export Receipts Plunge 47.4% in First Half of 2024 Amid Sector Challenges
Ghana’s cocoa export receipts plunged by 47.4% in the first half of 2024, falling to $760 million from $1.454 billion in the same period last year, according to the Bank of Ghana’s July Monetary Policy Report.
The steep decline was attributed to severe challenges in the cocoa sector, including adverse weather conditions, crop diseases, and increased smuggling activity, the central bank noted.
Despite the drop in cocoa exports, Ghana’s trade balance posted a provisional surplus of $1.81 billion for the first half of the year, up from $1.60 billion in the same period of 2023. This improvement was driven by stronger growth in exports, particularly gold and crude oil, outpacing the rise in imports.
Total exports rose by 13.4% to $9.23 billion, underpinned by a 46.4% surge in gold exports to $5.04 billion. This increase was bolstered by both a 28.9% rise in gold export volumes, largely driven by small-scale mining, and a 13.6% uptick in gold prices, which averaged $2,094.5 per ounce.
Crude oil exports also contributed to the trade surplus, with earnings rising to $1.98 billion, compared to $1.66 billion last year.
However, revenues from non-traditional exports and other export categories declined by 8.7% to $1.5 billion, reflecting a challenging export environment outside the core commodity sectors.
On the import side, the total bill climbed by 13.5% to $7.42 billion, driven by a 6.1% rise in oil imports to $2.30 billion and a 17.2% increase in non-oil imports, which reached $5.12 billion.
The BoG report underscores Ghana’s reliance on gold and oil to offset the ongoing difficulties in its key cocoa sector as the nation navigates a volatile global trade environment.
