INSUBCONTINENT EXCLUSIVE:
Cocoa prices soared to unprecedented heights in 2024, outperforming all major commodities
The market witnessed a staggering 175% gain over 12 months
volatility drove cocoa futures to record levels
Prices reached $12,906 per metric ton in December 2024
This spike reflected the largest global supply deficit in over 60 years
Dwindling stockpiles pressured both buyers and chocolate manufacturers.The cocoa market experienced extreme price swings throughout the year
Daily fluctuations often exceeded $1,000
These volatile conditions reduced market liquidity to decade-low levels
(Photo Internet reproduction)Weather patterns continued to challenge West African cocoa production
Analysts noted that low humidity and abundant sunshine stressed cocoa trees
These factors contributed to the ongoing supply concerns.In contrast, soybean prices fell sharply in 2024
Increased production in the United States and Brazil, coupled with weaker Chinese demand, drove prices down
Soybean futures dropped by approximately 23% over the year.Coffee prices also saw significant gains in 2024
Arabica coffee rose about 65% in New York
Drought fears in Brazil, the top supplier, fueled concerns about future production
broader food security issues
Climate change impacts on crop yields raised concerns beyond the cocoa sector
These challenges could affect global supply chains and economic stability.Chocolate manufacturers passed higher costs to consumers
This led to more expensive chocolate products worldwide
The industry faced ongoing challenges from climate change and plant diseases
These factors will likely limit output in the short term.Forecasts suggest cocoa prices will remain elevated in 2025
Analysts predict prices could reach $10,111.21 per ton by December
