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Barchart
Barchart
Rich Asplund

Cocoa Prices Close Sharply Higher as Global Cocoa Supply Outlook Worsens

July ICE NY cocoa (CCN24) on Monday closed up +444 (+4.76%), and July ICE London cocoa #7 (CAN24) closed up +220 (+2.96%).

Cocoa prices rallied sharply on Monday, with NY cocoa posting a 5-week high and London cocoa posting a 4-week high.  Lower cocoa production in the Ivory Coast, the world's largest producer, is a major bullish factor for cocoa prices.  Government data Monday showed that Ivory Coast farmers shipped 1.5 MMT of cocoa to ports from October 1 to June 2, down by 30% from the same time last year.  Trader Ecom Agroindustrial projects Ivory Coast 2023/24 cocoa production, which ends in September, will fall -21.5% y/y to an 8-year low of 1.75 MMT.  

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