PORT MORESBY, March 12, 2025– Papua New Guinea’s cocoa industry has made history, recording an astonishing K1.2 billion in export revenue for 2024—nearly four times higher than previous years. This unprecedented boom is transforming the lives of cocoa farmers across the country, as global prices soar to record highs.
According to Jesse Anjen, CEO of the PNG Cocoa Board, this milestone is the result of a perfect storm of market conditions, positioning PNG as a major player in the global cocoa trade.
“This is a big record for the industry,” Anjen said. “We’ve been doing about K300 million annually on average. In 2023, we did K418 million. Last year, we’ve quadrupled that—it’s very huge for our farmers and our economy.”
Why the Surge in Cocoa Prices?
The skyrocketing global demand for cocoa has been driven by production issues in the world’s top cocoa-growing nations, Ghana and Côte d’Ivoire. Climate change and diseases like swollen shoot virus have devastated crops, tightening supply and pushing prices to historic highs.
“There’s less supply coming onto the market,” Anjen explained. “The major producing countries are struggling, and that has driven cocoa prices upwards.”
For PNG’s farmers, this crisis in West Africa has turned into an unparalleled financial opportunity.
PNG Cocoa: A Global Treasure
PNG’s cocoa is classified as fine-flavour cocoa, a distinction given to only a handful of countries worldwide. This premium quality makes PNG cocoa highly sought-after, with major buyers including Indonesia, the United States, and China.
“Our PNG beans are naturally flavourful and are highly valued on the world market,” Anjen noted. “Even though we produce small volumes, our quality gives us a competitive edge.”
In recent years, PNG has begun exporting to Belgium and Germany, tapping into Europe’s growing demand for high-end chocolate.
However, Anjen believes PNG must do more than just export raw cocoa.
“Although we have fine-flavour status, much of our cocoa is being blended with lower-quality beans from other countries,” he said. “We need to focus on value-adding—producing cocoa liquor, cocoa butter, and even more local chocolate brands. That’s where the real money is.”
Transforming Farmers’ Lives
Perhaps the most exciting aspect of PNG’s cocoa boom is its direct impact on farmers. Unlike other countries, PNG’s farmers receive about 80% of the Free on Board (FOB) price, ensuring that the majority of the earnings stay in local communities.
“From the K1.2 billion we made last year, about K960 million went directly to farmers,” Anjen revealed. “This is building wealth—farmers are buying vehicles, outboard motors, and building houses. They’re also sending their kids to school, something that was difficult when prices were low.”
Farm-gate prices have skyrocketed, with a bag of cocoa that once fetched K460–K470 now selling for as much as K3,300 per bag at its peak in mid-2024. Even now, prices remain high, ranging between K2,500 and K2,300 per bag.
Challenges and Future Growth
Despite the success, PNG’s cocoa sector faces challenges. Some farmers are rushing to plant more cocoa but are cutting corners on fermentation and seed selection, which could impact quality in the long term.
“Because of the increased prices, some farmers are just collecting beans from ripe pods and planting them,” Anjen warned. “We can’t afford to lose quality. That’s why we’re working on a policy to regulate seedling distribution, ensuring only high-quality plants are grown.”
Additionally, the industry must navigate issues such as theft on cocoa farms and delays in payments as exporters and commercial banks struggle to manage cash flow.
“We’ve noticed some stealing happening in the farmers’ fields,” Anjen said. “We’re also seeing farmers trying to shorten fermentation days. We’ve trained our quality cocoa assessors to crack down on this, ensuring only top-quality beans reach the market.”
The Road Ahead: A Golden Era for PNG Cocoa
With global cocoa prices expected to remain high for the next three to four years, PNG’s cocoa industry is on the cusp of a revolution. The Cocoa Board is expanding into new regions, including Chimbu and the Southern region, while also boosting seedling distribution and farmer training programmes.
“Farmers in PNG stand to gain from these high prices,” Anjen said. “The time to plant is now—if they invest in cocoa today, they will reap even greater rewards in the next few years.”
The opportunities for investment are immense, with the PNG Cocoa Board actively encouraging private sector involvement in processing, export trade, and cocoa product innovation.
“We need to move beyond raw exports and build our own chocolate industry,” Anjen emphasised. “We have the beans, we have the quality—now we need to invest in marketing and value-adding to truly maximise our potential.”
A bright future awaits PNG’s cocoa industry. With high prices, global demand, and a growing number of success stories, this is PNG’s moment to shine on the world stage.