Cocoa prices fell sharply on Friday as signs of robust supplies from the Ivory Coast sparked profit-taking and long liquidation. Cumulative data showed that farmers shipped 2.07 million metric tons of cocoa to ports in the current marketing year through July 5, up 21% from the same period a year ago. ICE cocoa inventories rose to a nearly two-year high of 3,151,790 bags, adding to the bearish sentiment. The decline came despite recent price rallies driven by heavy rains in West Africa and signs of recovering demand, with Barry Callebaut reporting a 5.7% rise in fiscal third-quarter sales, its first increase in more than two years.
Barry Callebaut AGArticle mentions Barry Callebaut reported a 5.7% rise in fiscal Q3 sales, its first increase in over two years, indicating recovering demand.
Robust Ivory Coast cocoa supplies (21% increase year-on-year) and rising ICE inventories weigh on cocoa prices.