This episode provides a concise briefing on the evolving dynamics of the global cocoa market as of February 16, 2025.
As leading producers confront weather-related challenges and global inventories tighten, the cocoa market continues its volatile trajectory.

Key Themes Discussed:

Ivory Coast Cocoa Export Momentum Slows Amid Weather Stress

• Ivory Coast’s cocoa shipments reached 1.32 million metric tons by February 9, signaling a slowdown from the robust early season surge.
• While the national production forecast for 2024–25 was raised to between 2.1 and 2.2 million metric tons, insufficient rainfall and tree regeneration issues present significant downside risks.

Ghana’s Revised Outlook Highlights Persistent Structural Challenges

• Ghana’s Cocoa Board downgraded its 2024–25 production forecast to 650,000 metric tons from an earlier 700,000 estimate, reflecting continued impacts from adverse weather and crop diseases.
• Following a 23-year low in the previous harvest, maintaining cocoa output remains a formidable challenge for Ghana’s agricultural sector.

International Cooperation and Regional Initiatives to Strengthen Cocoa Resilience

• Guyana is partnering with Brazil to leverage advanced agricultural technologies aimed at enhancing cocoa yields and bolstering disease resistance.
• Malaysia has launched government incentives to expand domestic cocoa cultivation and strengthen its competitive positioning in global markets, capitalizing on rising international cocoa prices.

Sharp Surge in Cocoa Prices Reflects Deepening Global Supply Concerns

• Cocoa prices have skyrocketed, reaching $10,716 per metric ton in early 2024, compared to $2,540 in 2022.
• Tightening inventories and erratic production trends in West Africa underline the fragility of the global supply chain.

Emerging Signs of Demand Softening

• Declines in global cocoa grindings hint at emerging demand-side pressures, potentially altering future market balance and influencing price volatility in the second half of 2025.

Strategic Implications:

Structural Supply Risks Remain Elevated

• Persistent climatic stress, inadequate replanting, and weak crop regeneration in key producing regions continue to fuel global supply deficits.

Technology and Policy as Critical Mitigation Tools

• International cooperation initiatives, such as Brazil-Guyana agricultural partnerships, highlight the growing importance of innovation in securing long-term cocoa supplies.

Potential Demand Erosion

• While tight supply supports high prices, slowing grindings suggest that exceptionally elevated costs may gradually curb consumption, especially in price-sensitive markets.

Global Market Rebalancing Efforts

• New entrants like Malaysia are accelerating domestic expansion efforts, but will need time to materially impact the overall global supply picture.

Listen to this episode for:

• A sharp analysis of supply vulnerabilities facing Ivory Coast, Ghana, and global cocoa production
• Insights into how international partnerships and government policies aim to stabilize future cocoa markets
• Strategic outlooks for investors, traders, and chocolate manufacturers navigating the world's tightening cocoa supply chain