Ghana projects a 5.8% increase in cocoa output in 2020/2021

FILE PHOTO: Cocoa beans are pictured next to a warehouse at the village of Atroni, near Sunyani, Ghana April 11, 2019. /REUTERS

Ghana expects cocoa output of around 900,000 tonnes in the 2020/2021 season, up 5.8% from the forecast for 2019/2020, this is according to the country's Cocoa Board (COCOBOD) through a parliamentary report published on Wednesday.

The report also said the COCOBOD planned to raise $1.3 billion in syndicated loans to fund cocoa purchases during 2020/21 from a consortium of banks and financial institutions, with the government as guarantor.

The loan will carry annual interest of one-month Libor plus 1.75%, a commitment fee of 0.62% per year, and an upfront flat fee of 1.25%.

Ghana is the world's second-biggest cocoa producer. Its growing season runs from October to September.

(With input from the agencies)