Cocoa prices have climbed to their highest level in more than 20-years after concerns arose surrounding the quality and quantity of the crop from the Ivory Coast.
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In New York, ICE September cocoa climbed to the highest level in 28 years after increasing 2.4%, or US$73, reaching $3,099 per tonne. While on the London market, ICE September cocoa futures reached a 22-year peak, increasing 1.7% to GBP1,653.
The increased levels of trade came in the wake of a report by independent cocoa analyst Hans Kilian that raised concerns that the Ivory Coast crop has been damaged by insects and disease.
However, International Cocoa Organisation told just-food that it is too early to say whether the Ivory Coast’s crop will be lower than expected.
“It is a little early to conclude on the main crop in Côte d’Ivoire,” a spokesperson for the cocoa body commented. “There are some signs that the crop will not be as large as anticipated.”
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By GlobalDataIn May, the International Cocoa Organisation predicted 2007-08 world cocoa production would total 3.74m tonnes and forecast a small supply surplus of 71,000 tonnes in 2008/09.
Kilian was unavailable for comment as just-food went to press.
