Turkey: El Nino effect, prices started to rise

Published 2023년 6월 13일

Tridge summary

The article highlights the impact of El Nino on the global coffee and cocoa markets, with both experiencing price hikes due to decreased production. Cocoa prices have seen a significant increase, reaching a four-week high of over $3,180 per ton, with a 36% rise in the past year, as concerns grow about diminishing global supplies, especially with Ivory Coast's reduced production. Similarly, Arabica coffee futures have approached a six-month high due to crop concerns, with the market expecting a deficit of 7.3 million bags in the 2022/23 season, attributed to adverse weather conditions and increased fertilizer costs.

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Original content

"El Nino" causes prices to rise in the coffee and cocoa market, also known as soft commodities. According to the news of Evrim Küçük of Ekonomim, cocoa futures hit a four-week high, rising above $3,180 per ton amid growing concerns over tightening global supplies. While the prices have increased by 6.3 percent in the last month, the price increase for the last one year is 36 percent. In Ivory Coast, the world's leading cocoa producer country, both the volume of cocoa beans and the harvest forecasts continue to decline. Production falls in Ivory and Ghana For the 2022-2023 harvest period, the government predicts a harvest of 450 thousand tons, which is less than the 600 thousand tons harvested during the 2021-2022 interim campaign. The latest data showed that from October 1 to May 28, farmers sent a cumulative 2.09 million tons of cocoa to the ports of Ivory Coast for the marketing year 2022/23, down 3 percent from the same period last season. There is concern that the El Niño ...

Source: Manisakulishaber