| Commodity Traders | · Commodity traders in London and New York decide the price of cocoa and buy for large companies like Cadbury’s
· Buyers trade in future markets for best price · Other countries also produce cocoa, so buyers will go to the cheapest place · Price fluctuates impacting exporting countries and their workers · Dependency theory- Ghana relies on UK and USA to buy their exports |
| Overseas Tariffs | · Countries that produce and export cocoa commodities would want to develop its chocolate before exporting to make it more valuable BUT…
· Most processing and packaging is done in Europe because import tariffs are much higher for processed cocoa · Therefore, Ghana is forced to export raw cocoa beans which are less valuable |
| World Trade Organisation | · Ghana joined WTO in 1995 in attempt to increase global trade
· However, WTO banned Ghanaian government subsidizing their farmers to grow crops for Ghanaian cities · As a result, Ghana now must import foreign food · Ghanaian farmers cannot sell produce domestically because imports are even cheaper |
