Ghana Launches Cocoa Tracing Initiative Ahead of EU Deforestation Law



Ghana is implementing a pioneering system designed to trace cocoa beans from farms to ports as it prepares for a new European Union law aimed at prohibiting the import of goods linked to deforestation, according to a government representative on Thursday, September 5.

This groundbreaking legislation, effective from the end of December, will require EU importers of key commodities including coffee, cocoa, soy, palm oil, timber, beef, and rubber to demonstrate that their supply chains do not contribute to global deforestation. Failure to comply could result in fines of up to 4% of a company’s turnover.

Michael Amoah, a representative from Ghana’s cocoa regulatory authority, Cocobod, stated in a webinar organized by environmental organizations Fern and Mighty Earth, “We have polygon-mapped all cocoa in Ghana, established a complete traceability system, and successfully piloted it.”

Compliance with the upcoming EU law is crucial for Ghana, as approximately 60% of its cocoa production is exported to the EU, and the cocoa sector employs around 17% of the nation’s workforce. Most cocoa farmers in Ghana are smallholders located in remote areas, and they may face challenges meeting the law’s requirements without government assistance. These requirements include providing geolocation coordinates to prove that their farms are not on land that has been deforested since 2020.

Amoah expressed optimism, stating, “We hope our initiatives will enable us to capture a larger share of the EU market.”

However, the new regulation has faced criticism from commodity producers in regions such as Indonesia and Brazil, who argue that it is overly protectionist and may inadvertently prevent vulnerable small-scale farmers from accessing the lucrative EU market.

Deforestation is recognized as the second leading cause of severe climate change, following the combustion of fossil fuels.



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