Mar 19 β€’ 10:02 UTC 🌍 Africa RFI Afrique (FR)

Ivory Coast: Residual stocks of cocoa from the main campaign still in question

Cocoa producers in Ivory Coast are still waiting for payments related to residual stocks from the main cocoa campaign due to a lack of liquidity.

In Ivory Coast, the Interprofessional Agricultural Organization (OIA) for coffee and cocoa remains anxious over the outstanding payments for residual cocoa stocks that emerged from the main cocoa campaign. This campaign, which ran from October to the end of February, saw a significant slowdown characterized by liquidity issues faced by operators, leading to substantial stockpiles left in producers' cooperatives. The government had previously announced plans to purchase 100,000 tons to alleviate this issue.

As cocoa producers transition into the mid-campaign sales phase, they have begun the process, albeit with no official figures available yet. The OIA has noticed that some shipping documents, or bills of lading, have been issued for this purpose, indicating movement within the sector. However, the persistent blockage regarding payments for the residual stocks continues to create uncertainty and jeopardizes the operational stability within the cocoa industry.

This situation holds significant implications for Ivory Coast, one of the world’s largest cocoa producers, as unresolved payment issues may discourage farmers from continuing to participate in the market. Additionally, the financial health of cooperatives relies heavily on the resolution of these payment delays, making it crucial for the government and industry leaders to address liquidity issues swiftly to ensure the sustainability of the cocoa supply chain in the region.

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