VenturesNow

Swollen shoot disease, slump in cashew prices hurt Ivory Coast badly

The economy of Ivory Coast, one of the world’s biggest exporters of cocoa and cashew nuts, is currently hurting from a combined problem of crop diseases and falling global prices

Published

6 years ago

July 26, 2018

Africa News Watch

The economy of Ivory Coast, one of the world’s biggest exporters of cocoa and cashew nuts, is currently hurting from a combined problem of crop diseases and falling global prices.

Monitored reports say swollen shoot disease is worsening in the heart of Ivory Coast’s cocoa belt with some plantations seeing a significant drop in production, farmers and exporters said on Tuesday.

The viral disease, which typically kills trees within a few years, first appeared a few years ago in southern and western Ivory Coast but is now causing serious damage to crops.

Ivory Coast is the world’s top cocoa grower with annual production reaching 2 million tonnes last season. About 60 percent of that comes from the south and west.

Meanwhile, Cashew nut farmers and exporters in Ivory Coast are seeing a slump in sales as Vietnamese exporters try to get out of contracts following a drop in world prices, an official said on Tuesday.

Ivory Coast is the world’s top cashew nut producer with output of 770,000 tonnes expected this year. Exporters in Vietnam, which has a major cashew processing industry, buy 70 percent of that production.

International prices for cashews have dropped by nearly half since March after consumers in the United States and Saudi Arabia objected to high prices. In response, exporters want to pay less than the state-imposed price for this season.

“The contracts that the exporters signed have been called into question,” Adama Coulibaly, the general director of Ivory Coast’s cotton and cashew council, told Reuters. “The Vietnamese processors have seen their margin erode.”

Coulibaly said Ivorian authorities were in discussions with the Vietnamese exporters to insist that they respect the contracts signed in February at the beginning of the cashew-growing season.

According to farmers and exporters, between 150,000 and 200,000 tonnes of cashew nuts have not been sold because exporters have not been willing to buy at the fixed price.

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VenturesNow

Moroccan annual inflation rises to 0.8% in November

Published

2 days ago

December 21, 2024

Ifeoluwa Dada

Morocco’s statistics office has confirmed that the country’s annual inflation rate, as determined by the consumer price index, increased from 0.7% in October to 0.8% in November.

Monthly, consumer prices decreased by 0.2% from October.

The primary driver of inflation, food costs, grew by 0.8% compared to the previous year, while non-food inflation climbed by 0.7%. Core inflation, which does not include more erratic items like food, increased 2.6% annually and 0.2% monthly.

According to the central bank, inflation is expected to average 1% this year, down from 6.1% last year.

Despite the Al-Haouz earthquake, a spike in inflation, and worldwide economic challenges, Morocco’s GDP grew by 3.4% in 2023.

A recovery in tourism, robust industrial exports, and rising private consumption—all bolstered by prudent macroeconomic policies—were the main drivers of growth.

VenturesNow

Nigeria’s $42bn foreign reserves enough for 9 months’ imports— Central Bank

Published

3 days ago

December 20, 2024

Ifeoluwa Dada

According to Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), the nation’s $42.01 billion in foreign reserves can cover imports of goods and services for almost nine months.

Cardoso promised Nigerians improved economic fortunes in 2025 while addressing the Senate Committee on Banking, Insurance, and Other Financial Institutions yesterday in Abuja at the presentation of the performance index report.

Cardoso stated: “External Reserves rose from $ 38.35 billion it was on September 30, 2024, to $ 42.01 billion as of December 12, 2024”.

He clarified that third-party receipts in Q3 2024 and revenues from taxes connected to crude oil were the main drivers of the rise in foreign reserves during the specified time.

“We saw remarkable improvements in our trade balance and maintained a current account surplus,” he added.

“Our external reserves level can finance over 9.09 months of import of goods and services or 13.91 months only, higher than the international benchmark of 3.0 months and a robust buffer against shocks”.

On cash shortage, the CBN boss reiterated the N150 million fine against any branch of banks caught illegally distributing new Naira notes to currency hawkers and unscrupulous elements and said the Nigerian economy will improve in 2025 through policies and measures.

He predicted a stronger economic future: “Despite our economy’s challenges, there are clear reasons for optimism.

“The gradual stabilization of the forex market, ongoing banking sector recapitalization, and positive growth trends in key sectors, especially the services sector, indicate a path toward recovery and stability.”