Cocoa Crunch Is Most Painful in Europe as New Rules Bite
- London futures’ premium over New York cocoa has surged
- New EU deforestation rules are exacerbating supply fears
A farmer arranges cocoa beans in Kwabeng, Ghana. Poor harvests in West Africa have sent global futures soaring to unprecedented highs.
Photographer: Paul Ninson/BloombergThis article is for subscribers only.
Surging cocoa prices are being felt most in Europe, the world’s biggest chocolate consuming region, as new sustainability rules threaten to exacerbate a shortage of beans.
Poor harvests in West Africa have sent global futures soaring to unprecedented highs. But fears are mounting that the European Union’s incoming regulations — aimed at stopping products that destroy forests from being sold in shops — will make it even harder for the bloc’s top chocolate makers to secure supplies as consumption holds up.