Commodities
Ghana Seeks to Limit Some Cocoa Purchases as Shortages Persist
- Regulator will decide how much specialty cocoa firms can buy
- Decision made for next season signal tight supplies ahead
A farmer arranges cocoa beans to dry at a farm in Kwabeng, Ghana.
Photographer: Paul Ninson/BloombergThis article is for subscribers only.
Ghana is seeking to limit some cocoa purchases for next season, a sign that severe shortages that have plagued the market and sent futures prices to a record may be far from over.
In a letter to buyers this week, the world’s No. 2 producer said it will determine how much of the next crop can be sold as specialty cocoa based on total production, and that the regulator will allocate beans “equitably” among buyers. Specialty cocoa beans include the ones with certification such as Fairtrade, UTZ and Rainforest Alliance, along with traceable beans.