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Cocoa: Nigeria to join Côte d'Ivoire-Ghana initiative

27/05/2022
Categories: Raw materials

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Nigeria, the world's fifth largest cocoa producer, is considering imposing a living wage differential (LID) of $400 per ton of cocoa sold. Thus, the country plans to join the initiative of Côte d'Ivoire and Ghana.

Following the visit of a Nigerian federal government delegation to Cocobod on May 19, Abdhulhali Abubakar, director of the Nigerian federal ministry of agriculture and rural development, said that "the country is planning to join the initiative.Nigeria's unregulated and liberalized cocoa industry deprived smallholder farmers of annual income because they were not able to collect LID. The LID system that was established by Côte d'Ivoire and Ghana in 2019 is expected to be the African cocoa market organization and, if fully implemented in the region, will be the only way to ensure the sustainability of the industry.If it is fully implemented in the region, it may be compared to the oil exporters' organization where cocoa prices will be regulated. He added, "This is what Nigeria is striving to participate in.

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