For Kofi Acheampong, cocoa farming is the foundation of his livelihood. But because cocoa income is seasonal, he has learned that relying on a single source of income can leave his family vulnerable during periods when earnings are low.
To help bridge this gap, Kofi diversified into livestock rearing, keeping goats and sheep alongside his cocoa farm. The decision has given his family another source of income that they can draw on throughout the year.
Whenever an unexpected financial need arises, Kofi can sell a goat or sheep to cover household expenses and support his family’s welfare. This income has been particularly important during periods when cocoa is out of season, allowing the family to continue meeting its basic needs even when there are no immediate earnings from cocoa.
For Kofi, however, diversification has become even more important in the face of declining cocoa producer prices. The reduction in the price of cocoa significantly affected his expected income and made it difficult to achieve some of the financial goals he had set for his household and farm.
The VSLA provides an important complement to this livelihood diversification. Through regular savings and access to group loans, members have a mechanism for managing income, responding to financial needs and investing in their livelihoods. But PDA’s approach goes beyond savings and credit. VSLAs also serve as platforms for financial literacy and farmer business skills, helping members make better financial and enterprise decisions. Sessions on gender transformation and child protection further broaden the groups’ role, creating opportunities for members to reflect on household relationships, decision-making and the wellbeing and protection of children.
For Kofi, livestock rearing has become an important part of this broader effort to strengthen household resilience. Rather than depending entirely on cocoa earnings, he has an asset that can be converted into cash when the family needs it, while the knowledge and support gained through the VSLA help him make more informed decisions about managing his resources.
“Livestock rearing has become an important source of resilience for my family. It has provided an alternative source of income that helps us cope with fluctuations in cocoa earnings and continue meeting our basic needs.”
Kofi’s experience demonstrates how livelihood diversification, combined with access to savings, financial knowledge and business skills, can help cocoa-growing households navigate seasonal income and market uncertainty while strengthening their capacity to plan for the future.
Key Outcomes
- •Diversified into goat and sheep rearing alongside cocoa farming
- •Created a year-round income source to offset seasonal cocoa earnings
- •Built a buffer against declining cocoa producer prices
- •Gained capacity building in financial literacy and farmer business skills through the VSLA
