GRi BEF News Ghana 20 -07 - 2000
African cocoa producers to destroy 250,000
tonnes of cocoa
Market indices stand still under negative
pressure
African cocoa producers to destroy 250,000
tonnes of cocoa
Accra (Greater Accra) 20 July 2000
African cocoa producers have agreed to withdraw and destroy at least 250,000 tonnes of cocoa with effect from the 2000/2001 season.
It is expected that the action will lead to a rise in the price of the commodity "to an acceptable level and to improve the quality of the product on the world market."
This was one of the decisions arrived at, at a ministerial consultative meeting of the African cocoa producers held in Adibjan, Cote d'Ivoire, from July 14 to 15. Ghana, Cote d'Ivoire, Nigeria and Cameroon attended.
The world price of cocoa has plunged below the floor causing great financial loss to countries that rely on the commodity for their foreign earnings.
A statement issued in Accra on Wednesday by the Ghana Cocoa Board (COCOBOD), said the meeting also agreed to set up national committees charged with determining the practical modalities and the implementation of the decision.
It said the first consultation meeting of the national technical committees would be held in Accra on August 21 and 22.
The African cocoa producers decided to invite other producing countries to join in their initiative in order to ensure a sustainable increase in price levels.
They said they would take all necessary steps to counter the adverse effects associated with the implementation of liberalisation.
In this regard, they said they would review the harmonisation conditions of their institutional frameworks and the marketing policies and modalities for developing a competitive national private sector.
The producers said they would initiate concrete actions to promote consumption and alternative uses of cocoa.
They also said they would create a monitoring council to supervise all the mechanisms put in place.
The membership shall be made up of ministers in charge of cocoa and they would meet whenever necessary, but at least two times a year.
Their first meeting would be held in Accra in August as part of the meeting of the national technical committees.
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Market indices stand still under negative
pressure
Accra (Greater Accra) 20 July 2000
All major indices of the Ghana Stock Exchange were unchanged on Wednesday as the market came under intense negative pressure.
The GSE-All share index, which went up 0.53 points on Monday led by a 20-cedi gain by Accra Brewery Limited (ABL), marked-time as the bourse failed to record any change in share prices.
There was no positive pressure on any of the equities. However, as many as 15 out of the 23 listed equities registered negative pressure while the remaining eight had no pressure at all.
The market capitalisation and the change for the year to date were also unchanged at Monday's close of 3,574.04 billion cedis and 11.64 per cent respectively.
Generally, trading was poor with only 8,000 shares changing hands, representing about one-third of traded volumes at the previous session.
A low volume of 8,000 shares, posted by seven equities, was sold as against 23,000 by six equities on Monday.
Ghana Commercial Bank (GCB) continued its advance leading the pack, albeit with the sale of only 5,800 shares.
Brokers on the floor said the renewed interest of investors in GCB shares stems from its efforts to computerise operations, which will enable it to compete favourably with other banks.
"As the bank with largest number of branches spread across the country, investors are really reading into the future fortunes of the bank."
Offers went down marginally at 2,211,560 as compared with 2,241,580.Bids were equally lower at 8,000 from 23,200.
Below are the closing prices of listed equities in cedis:
ABL 620
AGC 18,600
ALW 2,600
BAT 440
CFAO 38
EIC 1,880
FML 1,200
GBL 1,400
GCB 1,000
GGL 990
HFC 950
MGL 200
MLC 150
MOGL 17,500
PAF 300
PBC 520
PZ 800
SCB 22,000
SPPC 150
SSB 1,990
UNIL 1,845
UTCE 125
CMLT 425
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