Cocoa prices eased below $5,000 per tonne, the lowest since November 26, pressured by weak demand signals, alongside positive supply prospects in West Africa. Cocoa grinding in Europe slipped by 8.3% from a year earlier to 304,470 tons in Q4, marking the sixth consecutive decline and way worse than market forecasts of a 2.9% drop. The European market represents a significant portion of global cocoa consumption. Traders now await data covering North America and Asia. Meanwhile, favorable weather across key West African producing regions, particularly Ivory Coast and Ghana, is expected to increase harvests in February and March, with farmers also anticipating better crop quality. According to them, the cocoa trees are already beginning to flower, a positive sign that could boost the next mid-season harvest, expected between April and September.
