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Ivory Coast: Regulator cautions cocoa exporters against overpaying for beans

Published

9 months ago

March 13, 2024

The market regulator for cocoa in Ivory Coast has cautioned cocoa exporters against paying more than the required amount for beans that are supplied to their facilities at the ports of the top-growing nation. Violators risk fines and license revocation.

With Ivorian arrivals anticipated to be down more than 28% from the previous season, Ivory Coast and Ghana, the country’s second-largest producer, are seeing their poorest harvest in years.

As a result of the shortage of supply, prices in New York and London have reached all-time highs.

In a document sent to industry participants, the Coffee and Cocoa Council (CCC) stated, “This situation has led to a frantic race to buy beans.” “It has recently been observed that licenced exporters are overpaying for cocoa.”

Prices throughout the rest of the cocoa supply chain are fixed, and overpaying is prohibited; however, farmers are permitted to make more than the minimum amount established by the CCC.

“The multinationals have been very aggressive,” the director of a European exporter told Reuters. “The grinders pay up to 1,500 CFA francs ($2.51) per kilogramme, whereas we’re authorised to pay a maximum of 1,095 CFA francs.”
The CCC also warned cooperatives and up-country buyers against holding onto beans, saying they were required to sell their stocks to exporters within 21 days of acquiring them.

“Non-respect of this measure exposes the offender to the confiscation of stocks and the suspension of access to the purchasing system,” the CCC wrote.

When the CCC regulated price scale is about to increase, cooperatives and buyers frequently stockpile beans. Although cocoa prices have reached all-time highs globally, the regulator will not alter its price scale for the mid-crop harvest, which is scheduled to begin next month, according to sources.

Even though the World Bank estimates that agricultural accounts for 4% of global GDP and up to 25% of GDP in some LDCs, the continent’s unpredictable and harsh climate makes it challenging to maximise the benefits of agriculture.

While there is a lot of rain falling in the West African region, North and East Africa are struggling with drought.

Related Topics:Cocoa Featured Ivory Coast

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Moroccan annual inflation rises to 0.8% in November

Published

23 hours 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

2 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.”