Ivorian cocoa prices remain firm

29 Oct, 2009

Ivory Coast's cocoa farmgate prices in the main growing regions remained firm last week, supported by high port prices and strong competition between buyers, farmers and exporters said on Wednesday. After its worst harvest in five years, which has deepened fears of a long-term decline in output from the world's top grower, Ivory Coast is enjoying a better start to the 2009/10 crop.
Exporters predict sustained weekly arrivals of around 50,000 tonnes of beans over the next two months. Prices at the port of Abidjan ranged from 990 CFA francs ($2.24) per kg to 1,090 compared with between 1,020 and 1,040 CFA the previous week, an European purchases manger said. "It is hard - the cocoa is expensive. We are using a lot of funds and the competition is fierce," he added. London March cocoa was trading at 2,198 pounds per tonne at 1026 GMT on Wednesday, having climbed to a 24-1/2 year high of 2,226 pounds earlier in the week.
London cocoa prices are supported by a weak pound but New York ICE cocoa futures have been touching 30-year highs, underpinned by signs of improved demand and Ivorian supply fears. In western region Soubre, Coffee and Cocoa Bourse (BCC) data showed the average price was at 890 CFA francs per kg but several farmers said they had received more.
An accurate average price for the centre-western region of Daloa was not available from the BCC but farmers said last week's prices around 900 CFA francs per kg had been maintained. "In the bush, the price is around 900 CFA, like last week. This is because the exporters are paying 1,000 francs in the warehouses," said farmer Magloire Gnankan.

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