ABIDJAN, Ivory Coast, The government of Ivory Coast will announce the fixed price cocoa farmers will receive for the mid-crop by the end of this month. The agriculture minister confirmed the earlier timeline as world cocoa prices continue to fall.
Usually, the mid-crop price is announced later. But this year, officials want to give farmers and traders clarity sooner because the global market has changed quickly.
Falling World Prices Create Pressure
Cocoa prices on the world market have dropped after earlier highs. Better supply forecasts and market changes are pushing prices down.
This has put pressure on the Ivory Coast to reduce the price it guarantees farmers. As the world’s biggest cocoa producer, the country’s decision will also affect other cocoa-producing nations.
Lowering the price may help the government manage costs and stay competitive. But it could also hurt farmers who depend on cocoa for most of their income.
Farmers Waiting for Clarity
Millions of small farmers are now waiting for the announcement. The fixed price system protects them from sudden market changes, but it also means the government sets the payments
Many farmers are worried about a possible price cut. In recent years, they have faced higher costs for fertilizer, labor, and transport. Bad weather has also affected harvests in some areas. final payment. Farmer groups are asking the government to keep prices fair so they can continue producing cocoa.
Government Balancing Tough Choices
Officials must balance several concerns. Keeping prices high supports farmers but may cost the government more money. Cutting prices too much could cause anger in cocoa-growing regions.
The cocoa regulator is also looking at export commitments and stock levels. A wrong price could lead to losses or lower production in the future. Announcing the price early may help reduce uncertainty for farmers and buyers.
Global Impact Expected
Ivory Coast’s decision will be closely watched worldwide. Together with Ghana, the country supplies a large share of the world’s cocoa.
Any change in farmer prices could influence global cocoa markets and even chocolate companies that depend on a stable supply.
