70% of the Cocoa, 6% of the Cash" – Why Africa’s Farmers are Losing the Battle Against Global Markets

The Cocoa Farmers Alliance Association of Africa (COFAAA) has raised alarm over what it describes as ineffective cocoa pricing systems, warning that current models are failing to protect farmers across Africa from volatile global markets.

In a statement issued on Thursday, COFAAA Global President, Adeola Adegoke, said pricing frameworks originally designed to stabilise incomes in cocoa-producing countries are no longer serving their purpose.
“These systems were meant to provide stability, but in practice, prices are quickly adjusted to reflect global market fluctuations, leaving farmers exposed,” he stated.
The organisation pointed out that despite the historic surge in cocoa prices in 2024—when global prices reached about $12,000 per metric tonne—many farmers, particularly in Côte d’Ivoire and Ghana, did not fully benefit due to the nature of semi-regulated and fully regulated market systems.
According to COFAAA, the subsequent decline in cocoa prices over the past year has further worsened conditions for farmers across the continent, dampening the optimism that followed the 2024 boom.
Mr. Adegoke stressed that although global demand for chocolate continues to grow, cocoa farmers in Africa still grapple with persistent challenges, including low incomes, child labour risks, limited access to education, poor infrastructure, inadequate healthcare, and security threats such as illegal mining.
He warned that these conditions pose a serious threat to the long-term sustainability of the cocoa sector, which remains a critical pillar of many African economies.
To address these concerns, COFAAA has established a Global Members Assembly and Empowerment Forum to assess current pricing systems and develop a unified continental position. The initiative will also explore practical support mechanisms, including improved access to farm inputs and social safety nets.
Highlighting the imbalance in the global cocoa value chain, Mr. Adegoke noted that Africa produces about 70 percent of the world’s cocoa, with Côte d’Ivoire and Ghana alone accounting for roughly 60 percent. However, the continent captures less than six percent of the estimated $147 billion global chocolate market.
The organisation also raised fresh concerns about the effectiveness of the Living Income Differential (LID), a policy introduced to boost farmer incomes. According to COFAAA, the recent drop in cocoa prices has exposed limitations in the mechanism’s ability to cushion farmers.
“It is concerning that despite the downturn in prices, the impact of the Living Income Differential has not been as strong as many had hoped,” the statement noted.
COFAAA is now calling on key institutions, including Conseil du Café-Cacao, Ghana COCOBOD, and the Côte d’Ivoire-Ghana Cocoa Initiative, to provide clarity on the future direction and sustainability of the LID.
The group believes such guidance will be crucial for other cocoa-producing countries considering similar income-support frameworks.
The concerns come amid a broader downturn in global cocoa prices, affecting farmers in major producing countries such as Nigeria, Cameroon, Uganda, and Sierra Leone.
COFAAA announced that public engagement on the issue will begin on March 21, 2026, with a virtual session aimed at fostering dialogue, strengthening collaboration, and charting a more sustainable path for Africa’s cocoa industry.