Concerns about Ghana's cocoa supply rationing had driven prices up previously
Cocoa prices have dropped after Monday's sharp rally due to chocolate maker Lindt & Spruengli AG's warning of lower demand from high prices.
Concerns about Ghana's cocoa supply rationing had driven prices up previously.
Improved growing conditions in West Africa, despite risks of disease from rain, are also influencing prices.
Better-than-expected demand and tighter U.S. cocoa supplies support prices, but lower production in the Ivory Coast and potential delays in Ghana's cocoa deliveries add complexity.
Meanwhile, projections of higher Ghanaian production in 2024/25 could impact future prices.
The International Cocoa Association forecasts a significant cocoa deficit for 2023/24, underscoring ongoing supply concerns.
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