A consortium of banks is reportedly preparing to move against the Produce Buying Company (PBC) to recover debts exceeding GH¢300 million, following a ruling by an Accra High Court that cleared the way for the judicial sale of the company’s assets.
The court, on March 10, 2026, dismissed an application filed by PBC seeking a stay of execution, effectively allowing the creditor banks to proceed with steps to attach and auction the company’s properties.
The ruling means several assets belonging to the cocoa purchasing firm—including buildings, warehouses, operational facilities, vehicles and other equipment—could soon be sold to offset the outstanding debt, which industry sources say may exceed GH¢300 million once accumulated interest and associated charges are taken into account.
Loan Default
The legal dispute traces back to a loan facility granted to PBC by a consortium of commercial banks several years ago to support its operations within the cocoa purchasing system.
According to sources familiar with the matter, the company later defaulted on its repayment obligations, prompting the banks to pursue legal action to recover their funds.
The courts ruled in favour of the banks in 2024, granting them the legal right to attach and sell PBC’s assets as part of efforts to recover the outstanding debt.
Following that judgment, the banks reportedly began preparations to take control of some of the company’s assets.
However, PBC subsequently filed an application seeking a stay of execution in an attempt to halt the enforcement of the judgment while it pursued further legal remedies.
That effort was unsuccessful, as the court dismissed the application in early March 2026, effectively removing the final legal barrier to the planned auction of the company’s properties.
Historic Cocoa Institution
The looming asset sale has raised serious concerns within the cocoa industry, as PBC has historically played a central role in the country’s cocoa marketing structure.
Established as part of the cocoa purchasing framework, the company operates as one of the major Licensed Buying Companies responsible for purchasing cocoa beans directly from farmers in rural communities and delivering them into the national cocoa export chain overseen by the Ghana Cocoa Board (COCOBOD).
For decades, PBC has served as a critical link between smallholder farmers and the export market, operating extensive networks of district depots, warehouses, transport fleets and field purchasing clerks across cocoa-growing regions.
Possible Industry Impact
According to stakeholders within the cocoa sector, the potential auction could have far-reaching consequences for the cocoa purchasing system if key operational infrastructure is dismantled.
Warehouses that currently store cocoa beans from farming communities could be sold to private buyers, while offices and depots that coordinate cocoa purchases in rural districts may also be affected.
Similarly, vehicles used by the company to transport cocoa beans from villages to aggregation centres and ports could fall into the hands of private firms if the asset sale proceeds.
Calls For Government Intervention
Industry players have indicated that government intervention may be required to prevent a collapse of the company’s operations, given its historical role in Ghana’s cocoa economy.
Some stakeholders believe that if the banks proceed with the judicial sale without any intervention, Ghana could witness the gradual dismantling of one of its oldest cocoa purchasing institutions.
Others argue that a negotiated settlement involving the government, COCOBOD and the creditor banks may offer a more sustainable solution that protects the integrity of the cocoa supply chain while addressing the financial obligations owed to the banks.
Uncertain Future for PBC
For now, the fate of PBC remains uncertain as the creditor banks prepare to move forward with the court-approved recovery process.
If the auction proceeds as expected, it could mark a major turning point for the company, which has long been considered one of the pillars of the cocoa industry.
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