Commodities
Top Cocoa Traders Hold Off on Buying in Ivory Coast Over High Prices
- Top traders sitting out forward sales because of high prices
- Costs of implementing EU-mandated tracking system a concern
A farmer cuts a cocoa pod to collect the beans inside on a farm in Azaguie, Ivory Coast.
Photographer: Andrew Caballero-Reynolds/BloombergThis article is for subscribers only.
Major cocoa traders are holding off buying beans in top grower Ivory Coast due a standoff on prices and a lack of clarity over who will bear the cost of implementing a newly-mandated traceability system.
Cargill Inc., Olam International Ltd. and Barry Callebaut AG, the top three buyers, are among the exporters sitting out forward sales for the current season’s mid crop that runs from April to September and the next 2024-25 harvest, according to people familiar with the matter. The companies want a discount because of higher prices and dipping demand, they said, speaking on condition of anonymity as they’re not authorized to speak on the subject.