As of October 31, 2023, cocoa prices have seen significant increases, with December ICE NY cocoa rising by 1.40% to $84 and December ICE London cocoa increasing by 1.76% to $75. This recovery comes after inventories at U.S. ports fell to a seven-month low of 1,836,163 bags.
Key factors influencing cocoa prices include a 24% decline in cocoa exports from Ivory Coast, the world’s largest cocoa producer, down to 215,219 MT during the new marketing year, alongside weak global demand signaling pressure on prices. In Asia, Q3 cocoa grindings fell by 17% year-on-year to 183,413 MT, while Europe reported a 4.8% decline to 337,353 MT, the lowest in a decade.
The International Cocoa Organization has projected a global cocoa deficit of 494,000 MT for the 2023/24 season, the largest in over 60 years, while also forecasting a global surplus of 142,000 MT for the 2024/25 season.
