Accra, Oct. 19, GNA - The 2007/08 main cocoa crop season opened on Friday with the Ghana Cocoa Board, the industry regulator, projecting a production output of 650,000 metric tonnes for the period. "Our estimates are based on the projection of rainfall for the period and the figures may be revised in line with weather conditions," Isaac Osei, Chief Executive of Ghana Cocoa Board, told a press conference in Accra.

Provisional cocoa output for the 2006/2007 crop season totalled 614,469 metric tonnes, down from the 740,457 tonnes for the previous season.

The Board attributes the decline in production mainly to an unfavourable weather pattern.

Professor George Gyan-Baffour, Deputy Minister of Finance and Economic Planning, which has oversight responsibility over Cocoa Board, said adequate materials and funds had been procured for a successful season.

"We have sufficient jute sacks, twine, ink and tarpaulin needed for smooth purchasing operations and adequate funding to cover all cocoa purchases estimated to be 6.175 trillion cedis." Besides, Cocoa Board had secured a medium-term facility of 150 million dollars, part of which would be used to expand and build new warehousing facility at Takoradi and Tema to avoid congestion at the take-over centres, he added.

A new 50,000 tonne capacity warehousing complex at Tema is now in use while conveyor belts are being installed at the new warehouses to facilitate operations.

In addition, the Board is renting parking lots in Takoradi and Tema, where vehicles carting cocoa would await their turn to be off-loaded at the take-over centres on the basis of time of arrival to ease congestion at the centres.

To lower the financing cost of Licensed Buying Companies, Ghana Cocoa Board, has reduced its interest rate on seed fund from 14 per cent to 11 per cent.

Cocoa Board has further decided to make 70 per cent down payment to LBCs on receipt of good quality cocoa beans while awaiting documentation on consignments received.

Prof. Gyan-Baffour also announced bonus payment to farmers for the 2006/07 main crop season totalling 160.24 billion cedis. The bonus would cover 581,779 metric tonnes purchased during the main crop period, which began in October last year and ended in May 2007.

The Deputy Minister said government would not relent in pursuing initiatives that had led to continuous improvements in the industry and boosted increased farmers' earnings.

Among the initiatives are remunerative producer prices and payment of bonuses, effective diseases and pest control exercise, improving the agronomic practices on cocoa farms, increased value addition to cocoa and introduction of new and innovative methods of cocoa farming. He said the Board would continue to intensify education of farmers on the proper method of fermentation for 6-7 days with two turnings to ensure that the country maintained its lead role in the production of good premium cocoa.

"Our vision is to get the farmers to adopt new ways of farming that will enable them to increase their output without necessarily expanding the acreage under cultivation," Prof. Gyan-Baffour said. Cocobd has said, given the increasing concerns of key markets about chemical residue levels in food, COCOBOD will equip the three-takeover centre with requisite equipment to undertake residue analysis and issue appropriate certificates.