Ivory Coast Cocoa Grind Plummets 31.2% in July: What This Means for Global Commodity Investors and Traders
ABIDJAN – Ivory Coast’s cocoa grinding volume experienced a significant decline in July, dropping 31.2% year-on-year to 39,301 metric tons, according to data released Monday by the exporters’ association GEPEX. The reduction is attributed primarily to poor bean quality and lower mid-crop volumes.
From the start of the 2024/25 season in October through the end of July, total cocoa grinding amounted to 515,055 tons, representing a 4% decrease compared to the same period last season.
An executive from an international grinding company based in San Pedro explained to Reuters that this year’s July grind fell sharply due to substandard beans. “They are mediocre this year, leading us to reject a large quantity because of insufficient fat content and elevated acidity levels,” he said. Between April 1 and August 17, cocoa bean arrivals at Ivory Coast’s two key ports, Abidjan and San Pedro, totaled only 350,000 tons—a 30% decline from approximately 500,000 tons during the same timeframe last year.
Exporters also highlighted that grinders have depleted their stocks and must rebuild them before resuming average processing rates during the main harvest. The director of a grinding firm in Abidjan told Reuters, “We are waiting for October to receive good-quality beans that will allow us to replenish all stocks and return to a monthly grinding rate of just over 58,000 tons. This will require aggressive purchasing at the beginning of the season.”
The GEPEX figures cover six of the largest grinding companies, including Barry Callebaut, Olam, and Cargill Inc. Ivory Coast’s total grinding capacity stands at about 750,000 tons. As the world’s largest cocoa producer, Ivory Coast competes closely with the Netherlands for the top position in cocoa grinding.
— رويترز
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The significant 31.2% drop in Ivory Coast’s cocoa grinding due to poor bean quality and reduced volumes signals الاضطرابات المحتملة في سلسلة التوريد for cocoa-dependent industries globally. For businesses in Oman, especially those in chocolate and confectionery sectors, this presents risks of higher raw material costs and supply shortagesينبغي على المستثمرين ورجال الأعمال الأذكياء أن يأخذوا في الاعتبار diversifying supply sources and exploring value-added processing opportunities to buffer against volatility in cocoa supply.
