(Ecofin Agency) - Ivorian authorities have given a six-day deadline to cocoa exports to provide documented evidence of their export permits. These documents should include a proof of acquisition otherwise their cocoa purchase will be cancelled and volumes that should have normally been given them, sold back. Analysts estimate that between 200 to 250,000 metric tons of cocoa are concerned here.

Reuters indicated that the measure aims to put an end to speculation which currently is dominant in the country’s sales system. Additionally, according to a trader, the dramatic news will undoubtedly affect the sector as it will push local exporters to seek a cover and weigh on the prices of the commodity which is currently on a down slope.

In London and New-Yord, cocoa is at its lowest, in seven months, due to rains recorded in West Africa. The rains indeed raised production outlook for the next season in the region which is the world’s main cocoa basin.

Aaron Akinocho