Sunday, March 7, 2021
  • Contact
  • Privacy Policy
  • Terms & Conditions
Trends Wide
  • Home
  • News
  • Business
  • Lifestyle
  • Trending
  • Australia
  • Deals
  • Cryptocurrency
No Result
View All Result
Trends Wide
Home Economie

Cocoa prices: Is the rise in demand enough to solve current supply woes

souhaib by souhaib
January 19, 2021
in Economie
0
496
SHARES
1.4k
VIEWS
Share on FacebookShare on Twitter


Cocoa futures are trading at around $2527, which is an increase of 1.08%. The prices are reacting to the released data on the rise in North American cocoa bean grindings. The numbers are an indication that the commodity’s demand rose in the past quarter. However, on a 4-hour chart, cocoa prices are finding resistance around the $2535 level as stockpiles continue to build up in Ivory Coast.

cocoa

Ivory Coast’s cocoa stockpiles increase

On the side of the supply, cocoa prices are reacting to the inventories build-up in Ivory Coast. On Monday, cocoa farmers in this top cocoa producer started peaceful protests against the ongoing shortage of bean buyers.


Are you looking for fast-news, hot-tips and market analysis?

Sign-up for the Invezz newsletter, today.

There are over 100,000 tonnes of cocoa beans stocked in cooperatives and farms within this western African country. The unsold amount equates to about a third of the nation’s monthly production during the current season.

Notably, the situation is a vicious cycle affecting all the stakeholders, including the exporters, cooperatives, and farmers. According to the Ivorian cocoa exporters, chocolate manufacturers within the United States and Europe asked for the postponement of the October-December deliveries to the January-March period.

The rescheduling has resulted in lesser cocoa bean shipments from the country. In an attempt to deal with this situation, the Coffee and Cocoa Council has paused on registering additional produce from cooperatives. Subsequently, cooperatives no longer have the space or funds to buy from farmers.

In addition to the inventories build-up, farmers are also protesting against the lower-than-promised prices. Late last year, cocoa farmers in Ghana and Ivory Coast raised concerns over the unwillingness of some chocolate companies to mee the set premium of $400 a tonne.

Germain Koffi, a leader of the Anaproci farmers’ group has indicated that the buyers demand that the cooperatives document payments of 1,000 CFA francs to the farmers, yet they only pay 800 CFA francs. The low prices have been frustrating to farmers who live in poverty and rely solely on the venture for their basic needs.  

Cocoa grindings rise

Increased cocoa beans supply been associated with the coronavirus-related decline in the demand for chocolate and other confectionaries. However, recent data indicates a rise in demand; which is good news to those looking to invest in commodities like cocoa.        

In Q4’20, North American cocoa grindings rose by 6.95% to reach 118,043 metric tonnes. The data released by the National Confectioners Association on 14th January is usually a measure of demand. The report, which focuses on grinds in the United States, Canada, and Mexico, has encompassed 17 manufacturing plants. Among the reporting companies is Nestle, Mars Wrigley Confectionery, and Barry Callebaut.  

On Monday, GEPEX, an association of Ivorian cocoa exporters, also released data indicating that grinders had processed 147,000 tonnes as of 31st December. The figure is an increase of 5,000 tonnes YoY.

Numbers on Europe’s cocoa bean grindings for Q4’20 are scheduled to be published on 20th January. It will be interesting to see the commodity’s demand level and how cocoa prices react to the data.



Source link

Related posts

Rightmove’s revenue slides 29% in 2020 despite record number of visitors.

February 26, 2021

Salesforce says its full-year revenue topped £14 billion for the first time.

February 26, 2021
Next Post

Azhari World: Exhuming the bodies of the pharaohs and showing them to visitors is forbidden according to Sharia, and it is permissible in one case

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

RECOMMENDED NEWS

Djokovic to face Medvedev, Zverev and Schwartzman in round robin stage at ATP Finals

4 months ago

Covid-19: Lichfield Cathedral becomes a vaccination hub

2 months ago

Gold prices rise in light of hopes of US stimulus

4 weeks ago

Danny Cipriani: England stand-off to leave Gloucester

3 months ago

BROWSE BY CATEGORIES

  • Australia
  • Cryptocurrency
  • Culture
  • Deals
  • Discounts
  • Economie
  • Euro
  • Gaming
  • Lifestyle
  • News
  • Opinion
  • Sports
  • Switzerland
  • Trending
  • Uncategorized

BROWSE BY TOPICS

2018 League abc Australia Bali United bbc bbc health Budget Travel Champions League Chopper Bike cnn ar business dailymail dailymail australia dailymail heath dailymail money dailymail sport day 7 euronews Health https://lenews.ch/feed/ IGN Istana Negara Market Stories National Exam rt arabic usa today usa today money usa today sport Visit Bali Women Fashion

POPULAR NEWS

  • Watch .. Lebanese astronomer Michel Hayek reveals his predictions for the year 2021

    1141 shares
    Share 456 Tweet 285
  • Help save a local business

    1006 shares
    Share 402 Tweet 252
  • Love Insurance

    978 shares
    Share 391 Tweet 245
  • 5 places to visit in Microsoft Flight Simulator 2020.

    871 shares
    Share 348 Tweet 218
  • Reece Parkinson: A shock diagnosis won’t stop me running

    737 shares
    Share 295 Tweet 184

Follow us on social media:

Recent News

  • Israel reopens economy after vaccinating nearly 40% of population
  • FEMAIL tests the best cosmetics for creating the illusion of wider eyes
  • Al-Badri summons 6 professionals to the Egyptian national team camp

Category

  • Australia
  • Cryptocurrency
  • Culture
  • Deals
  • Discounts
  • Economie
  • Euro
  • Gaming
  • Lifestyle
  • News
  • Opinion
  • Sports
  • Switzerland
  • Trending
  • Uncategorized

Recent News

Israel reopens economy after vaccinating nearly 40% of population

March 7, 2021

FEMAIL tests the best cosmetics for creating the illusion of wider eyes

March 7, 2021
  • Contact
  • Privacy Policy
  • Terms & Conditions

© 2021 JNews - Premium WordPress news & magazine theme by Jegtheme.

No Result
View All Result
  • Home
  • News
  • Business
  • Culture
  • National
  • Sports
  • Lifestyle
  • Opinion

© 2021 JNews - Premium WordPress news & magazine theme by Jegtheme.