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Farm gate cocoa prices in Cameroon, the world's fifth biggest producer, hit their highest level in five years at the start of the 2009/10 (August-July) season, farmers and traders said on Friday. Prices were between 1,020-1,050 CFA francs per kg, up around 10 percent from July, said Jospeh Nde, manager of Cameroon Marketing Commodities (CAMACO), a major cocoa growing and exporting company in the South-West region.
"This is the highest price we've registered for the first month of the season over the last five years and I am confident that the price will remain high for many months," he said. As well as exporting to international markets, Cameroon has an expanding domestic processing industry, with purchases for local grinding running around 25 higher than last year.
Similar prices were recorded elsewhere in the country, with beans changing hands for 1.000-1,010 CFA francs per kg in Konye, up from 900 francs in July, and 1,005-1,010 CFA francs per kg in Muyuka, up from around 920 francs in July. Benchmark cocoa prices as traded in London were quoted at 1,812 pounds per tonne on Friday, having hit a two-week high of 1,869 pounds on Thursday.
In the Centre region, another major Cameroonian growing zone, prices rose to 950-1,000 CFA francs per kg in Bafia, up from 850-890 francs, and to 900-950 francs from 820-825 francs. "This is a very good price for us the farmers at the beginning of the season," said farmer Emmanuel Nguile.

Copyright Reuters, 2009

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