Abidjan. The president of Ivory Coast, Alassane Ouattara, will increase the official price of cocoa at the farm to 1,500 West African francs ($2.47) per kilogram starting Tuesday, compared to the current 1,000 West African francs, according to sources. of five exporting companies.
The sources, who spoke on condition of anonymity, said they cited a decision made at a government meeting on Saturday.
Earlier in the day, Ouattara had validated a price proposal of between 1,100 and 1,200 West African francs per kilogram before backtracking and asking for the price to be even higher, the sources said.
Representatives of the government or the Coffee and Cocoa Council (CCC), the regulatory body, could not be reached for comment.
Cocoa prices have increased more than 200 percent in the last year and have reached more than 10 thousand dollars a ton as diseases and adverse weather conditions have pushed the world market into a third consecutive deficit, but This has not yet been reflected in the official price that growers can charge for their grains in Côte d’Ivoire, one of the main producers.
There were several proposals on the table and, as a last resort, the president wanted the highest possible price for producers, so he decided on 1,500 West African francs per kilo instead of 1,200 West African francs, a ceiling that had already been set. validated
the director of a European export company told Reuters.
Ultimately, in the current context, this is the best possible price that the CCC can pay, because the sales system in Côte d’Ivoire is such that it is difficult to change prices during the season
added the same declarant.
The director of another international export company stated: The president considered the situation of the world market exceptional and wanted his reaction to be exceptional as well.
.