PBC in financial crisis as GH¢673 million debt mounts - Report

Ghana’s state-owned cocoa buying company, the Producer Buying Company (PBC), is unable to buy cocoa from farmers due to debts of about GH¢673 million (around $60 million), a source familiar with the matter has told Reuters.

According to Reuters, the company is also at risk of having its assets seized.

PBC is required by law to act as a “buyer of last resort” for cocoa farmers but is reported to be unable to operate properly despite government plans announced in February to revive its role in the sector.

The source said PBC owes farmers about GH¢24 million for more than 9,000 bags of cocoa already delivered, but it has no money to settle the arrears or continue new purchases.

Additionally, a group of banks owed about GH¢257 million has also obtained a court order in March 2026, to sell the company’s assets to recover their funds.

In the past few months, Ghana’s cocoa sector has been under pressure due to global oversupply, falling cocoa prices, and reduced demand from chocolate manufacturers, affecting buyers across the industry.

PBC, which once handled about 30% of Ghana’s local cocoa market, now accounts for less than 5%. Many farmers say they are still waiting for payments for cocoa delivered since November 2025.

The source told Reuters that the Ghana Cocoa Board (COCOBOD) has not yet refunded PBC for about 800 metric tons of cocoa delivered more than two months ago.

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The Ministry of Finance and COCOBOD have not responded to requests for comment, Reuters said.

Although Finance Minister Dr Cassiel Ato Forson earlier said reviving PBC was part of government’s plan to support farmers, the source claims no further action has since been taken.

The company is also struggling with unpaid salaries, supplier debts, and statutory payments. SSNIT, a major shareholder, is also reportedly reluctant to inject fresh capital.

The source believes a government intervention could help stabilise PBC and restore its role in buying cocoa across Ghana’s 127 cocoa-growing districts.

MA