Ivorian and Ghanaian cocoa prices climb on European physical market
(Ecofin Agency) - The prices of cocoa shipped from Côte d’Ivoire and Ghana have significantly increased on the European physical market, amid growing concerns about the West African region’s commodities supply.
According to Reuters, the premium for Ghanaian bean reached 200 pounds per ton while the Ivorian one was 85 pounds.
According to some sources, many traders scramble for beans on the market as the output of the West African basin declined due to Côte d'Ivoire and Ghana’s underperformance.
Still, according to Reuters, the situation is worsened by Coffee-Cocoa Council (CCC)’s miscalculation, which has auctioned 170,000 tons of cocoa more than expected, causing exporters not to fulfill contracts with their customers.
Reuters indicated that the pressure has led many buyers to resort to Cameroon, despite doubt about the quality and age of the Cameroonian cocoa shipped.
For the record, according to the latest data from the International Cocoa Organization (Icco), there will be a 105, 000 tons surplus of cocoa for the 2017/2018 season, a volume down 300, 000 tons compared to the previous season.