Ivory Coast seizes 1,100 tonnes of smuggled cocoa amid regional output slump

Published Oct 7, 2024

Tridge summary

The Ivory Coast Coffee and Cocoa Council (CCC) has intercepted 33 trucks carrying 1,100 tonnes of smuggled cocoa beans at the Ivory Coast-Guinea border, signaling a surge in smuggling due to poor harvests in West Africa, leading to a global supply deficit and increased cocoa prices. In response, Ivory Coast and Ghana, the world's largest cocoa suppliers, have raised the fixed price paid to farmers by 20% and 45% respectively to stabilize the sector and ensure farmer income. The government is also enforcing strict controls to curb smuggling and the parallel market. The small start of the 2024/25 cocoa season has seen a dramatic 74% drop in cocoa arrivals, raising concerns about the global market reliance on West African production. The situation underscores the need for long-term strategies to bolster the cocoa sector's resilience and sustainability.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The Ivory Coast Coffee and Cocoa Council (CCC), the industry regulator, has seized 33 trucks carrying around 1,100 tonnes of smuggled cocoa beans at the border with Guinea, two sources close to the body revealed. The increase in smuggling reflects a difficult period for the region’s main producers, following poor harvests in both Ivory Coast and Ghana, which together represent the world’s largest suppliers of cocoa. Cocoa smuggling has intensified as global production has fallen significantly, leading to a supply deficit that has already reached its highest level in the last four years. This scenario has driven up cocoa prices and, consequently, chocolate on the international market. The impact is notable and affects the entire value chain, from farmers to end consumers. Ivory Coast and Ghana React: Increased Producer Prices In response to the shortage and market instability, Ivory Coast announced a 20% increase in the fixed price paid to cocoa farmers, bringing it to 1,800 CFA ...

Source: Mercado Do Cacau