Côte d'Ivoire, known as the world's largest cocoa producer, has reached out to India with a proposal to source cocoa directly from their country due to a significant rise in cocoa product consumption.
They plan to send a high-level delegation to India in the coming month for negotiations with the Indian government and potential partners and investors, particularly in the processing and value-added segments of the cocoa industry within their nation.
Despite producing a substantial 2-2.2 million tonnes of cocoa, which accounts for 45% of the global cocoa output totalling 5 million tonnes, Ivorian cocoa farmers have not been reaping the expected benefits.
In an effort to capitalize on their leading cocoa production status, Côte d'Ivoire has decided to explore direct marketing of cocoa.
However, their recently announced farmgate price of 1,000 francs, issued by the cocoa regulator on September 30, is still considered low, especially when compared to global cocoa prices.
The cocoa trade traditionally sees established players dominate, and these entities often enjoy the lion's share of the profits.
Therefore, Côte d'Ivoire is now focusing on promoting cocoa processing to increase the value of the commodity before selling it. They are actively seeking partnerships and the establishment of processing facilities to achieve this goal.
Yves Brahima Kone, the Managing Director of the regulator, stated during the International Exhibition of Agriculture and Animal Resources (SARA) that they plan to visit India in November to meet with potential partners and government officials to discuss the direct marketing of cocoa.
The objective is to market cocoa products or semi-finished goods, thus generating higher income for the country.
Regarding the high import duties on cocoa in India, it is expected to be a topic of discussion during their upcoming negotiations. The Ivorian regulator believes that these discussions will result in a mutually beneficial situation for both nations, enhancing cocoa trade and potentially leading to better returns for Ivorian cocoa farmers while meeting India's cocoa demands more efficiently.
Source: Krishi Jagran