Cocoa reaches new heights in the US and UK with scarce supply and challenging weather conditions

The cocoa market is witnessing surprising moves, with the May contract in New York recording an impressive increase of more than 5%, reaching US$6,586 per metric ton. During the session, cocoa reached a high of US$6,677/tonne, signaling robust dynamics in the sector. At the same time, cocoa for May in London was not left behind, recording a significant gain, reaching 5,564 pounds per ton. The cause behind this frenzy in cocoa markets largely lies in persistent supply shortages. Stocks remain extremely tight, a direct consequence of poor harvests in Côte d'Ivoire and Ghana this season. Adverse weather conditions in these regions, combined with lower-than-expected production, have considerably impacted global supply. According to recent information, arrivals of the main cocoa harvest at Côte d'Ivoire ports totaled 1.917 million metric tons as of March 3. This data represents a notable drop of 29% compared to the same period in the previous season, since the beginning of the harvest ...