Cocoa futures hovered around $3,300 per tonne, close to the lowest since August 2023, amid an improved supply outlook and evidence of ample supplies. Reports from West African farmers indicated that consistent rainfall has boosted cocoa pod development prospects in Ivory Coast and Ghana. Earlier this month, both countries slashed the fixed farmgate price paid to cocoa farmers aiming at boosting sales after global prices fell. Slowing global demand has accelerated cocoa stockpile accumulation, pushing key producers into crisis. In the meantime, latest data showed ICE cocoa inventories rose to a 7.25-month high of 2,273,550 bags by March 16, reinforcing the scenario of greater availability. Nevertheless, dealers noted that part of this increase still reflects a cautious demand from the global industry.
