Cocoa prices are rising with September ICE NY cocoa (CCU24) up 2.77% at +235 and September ICE London cocoa #7 (CAU24) up 0.27% at +17. The increases follow a weaker dollar and lower cocoa production in the Ivory Coast, where shipments decreased by 28% year-over-year to 1.67 million metric tons (MMT) from October 1 to August 11.
ICE-monitored cocoa inventories in U.S. ports have fallen to a 4.5-year low of 2,734,800 bags. Additionally, the International Cocoa Organization (ICCO) projected a 439,000 MT cocoa deficit for 2023/24, significantly larger than the previous estimate. Meanwhile, Cameroon’s production rose by 1.2% year-over-year to 266,725 metric tons, contrasting with Ghana’s forecasted rebound to 700,000 MT in 2024/25.
Concerns over West African weather patterns and declining mid-crop projections have further supported cocoa prices. The Ivory Coast’s mid-crop is expected to drop by 33% to 400,000 MT, while Ghana’s mid-crop estimates have been cut sharply to 25,000 MT. More consistent rainfall is anticipated as the El Nino weather pattern dissipates.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
