FX.co ★ Cocoa Futures at 2023-Lows

Cocoa prices extended their decline, trading near $3,400 per tonne, the lowest level since October 2023, amid persistently weak global demand and subsequent inventory buildup in major producing countries. Warehouses in Ghana and Ivory Coast are continuing to accumulate unsold cocoa beans, even after Ghana reduced farmer payments in an effort to stimulate supply. At the same time, ICE-monitored cocoa stocks climbed to a 4.25‑month high of 1,942,367 bags on Friday, indicating that more cocoa is available for prompt delivery than the market is currently absorbing. This inventory accumulation and the delays in offloading stocks heighten the risk of further downward pressure on international prices. In parallel, the market remains under strain as favorable weather conditions across West Africa bolster production forecasts and reinforce expectations of ample supply, with South America also adding to global output.