World: Cocoa futures fall, but remain above expectations

Cocoa futures contracts due in March 2025 began the week down 2.22%, trading at US$8,315 per ton. Despite the decline, prices remain above market projections, supported by climate and regulatory factors that are putting pressure on global supply. Climate instability in West Africa, the world's largest cocoa-producing region, has been one of the main factors driving up prices since November. According to Trading Economics, the combination of below-average rainfall and high temperatures in Ghana and Nigeria is negatively affecting production. The situation in Ivory Coast, the world's largest producer, is also a cause for concern. Adverse weather conditions have contributed to expectations of a smaller harvest, driving up prices for beans on the international market, even during periods of correction such as the one observed this Monday. In addition to climate issues, the approval of the European Union Supply Chain Due Diligence Act (EUDR) in the European Parliament is creating ...