By WASITA ROYAL
A RECENT Cocoa Board Press Conference painted a picture of Papua New Guinea’s cocoa sector at a critical juncture. While riding the wave of high global demand and prices, the industry faces significant internal challenges that must be addressed to fully realize its potential.
The press conference featuring key personnel CEO Jesse Tukup Anjen highlighted the impressive strides made.
It was announced that cocoa exports reached 41,420 tons last year, generating a substantial 1.2 billion USD for the nation. This success is partly attributed to favorable global market conditions, with prices stabilizing around 2000-2200 USD per ton due to structural issues in West Africa, the world’s leading cocoa producer.
This global situation presents both an opportunity and a challenge for PNG. While high prices are expected to continue, PNG is currently behind on fulfilling previous orders, delaying new production from reaching the market.
However, this also offers a chance for expansion. Cocoa cultivation has now spread to 21 of PNG’s 22 provinces, aligning with the Marape government’s focus on agriculture and its goal of creating 2 million jobs. Cocoa, with its potential for growth, is well-positioned to contribute significantly to this ambitious target.
But the path to becoming a major cocoa exporter isn’t without its hurdles. Maintaining quality is paramount.
Assistant Executive Manager Industry and Cooperate Services Mr Adam Mera emphasized that the need to combat issues like theft and poor processing practices, will threaten the reputation of PNG’s cocoa.
Programs are underway to improve quality control, addressing issues related to drying and storage, and encouraging farmers to adopt best practices noting that cocoa takes 2-3 years to mature, making long-term planning and investment crucial.
Theft remains a significant concern, impacting both farmers’ livelihoods and the overall quality of the product and stressing the need for effective measures to address this issue.
Furthermore, competition from other cash crops like oil palm and coffee presents a challenge. Farmers often switch between crops based on market prices, requiring strategies to support diversified income streams without sacrificing cocoa production.
The Cocoa Board is exploring initiatives to encourage complementary crop cultivation and ensure stable, profitable prices for cocoa.
Seed supply and demand are also critical. Current seedling production isn’t meeting demand, leading to plans for establishing new seed gardens. The Board emphasized the technical expertise required to produce high-quality seedlings, vital for maximizing yields. It was highlighted that supporting farmers with training, resources, and access to quality seedlings is crucial for long-term success.
The conference concluded with a call to action where the CEO thanked the Marape Government for its support and urged continued investment in the agricultural sector. The potential for cocoa to become a major economic driver was reiterated, emphasizing the need for increased production, improved infrastructure, and a focus on quality to maintain high prices in the face of global competition.
The message was clear: collaboration among all stakeholders is essential to unlock the full potential of PNG’s cocoa industry and secure its future as a significant player in the global market.
