Cocoa harvests are looking promising for the upcoming season, yet this may not sufficiently lower chocolate prices. Following poor crops in West Africa that caused significant bean shortages and market turmoil this year, all eyes are on the future production landscape. Analysts project that global cocoa output could exceed demand by approximately 90,000 tons, primarily due to improved harvests in top grower Ivory Coast.
Thank you for reading this post, don't forget to subscribe!In Nigeria, cocoa exports experienced a remarkable 304% increase in the first quarter of 2024, reaching ₦438.7 billion (about $565 million), which constituted 42.4% of the country’s total agricultural exports. This surge is attributed to severe supply deficits in Ivory Coast and Ghana, the two largest cocoa producers globally.
Despite this increase, Nigeria’s cocoa production has stagnated at around 280,000 metric tons. However, the Nigerian government aims to boost production to 500,000 metric tons by 2024 through improved planting materials and cultivation techniques. Industry leaders are optimistic, emphasizing that with focused efforts, production could rise significantly.
While the current price rally is benefiting farmers, industry experts caution against complacency, highlighting that increased production in other regions could lead to a price drop in the near future. Therefore, investment in sustainable practices and value addition is crucial for the long-term success of Nigeria’s cocoa industry.
