Latest news with #MalaysianCocoaBoard
Yahoo
16-07-2025
- Business
- Yahoo
Cocoa Prices Fall on Expectations for Weak Q2 Demand Figures
September ICE NY cocoa (CCU25) is down -266 (-3.37%), and September ICE London cocoa #7 (CAU25) is down -146 (-2.80%). Cocoa prices are trading lower on demand concerns ahead of Thursday's expected release of Q2 grinding figures. The consensus is that Q2 European grindings will fall -5% y/y. That would follow Tuesday's negative demand news from the Malaysian Cocoa Board and Cocoa Manufacturers Group, which reported that Malaysian cocoa bean processing in Q2 fell by -22% y/y. More News from Barchart Coffee Prices Fall Back After Monday's Surge Coffee Prices Fall Back After Monday's Surge How About those Crop Condition Numbers for Corn and Soybeans? Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! Global grindings reports for Q1 were weak. Q1 North American cocoa grindings fell -2.5% y/y to 110,278 MT, Q1 European cocoa grindings fell -3.7% y/y to 353,522 MT, and Q1 Asian cocoa grindings fell -3.4% y/y to 213,898 MT. Cocoa prices also fell due to reports of favorable weather conditions in cocoa-growing areas in the Ivory Coast and Ghana, although the weather is less favorable in Nigeria and Cameroon. Monday's government data showed that Ivory Coast farmers shipped 1.73 MMT of cocoa to ports this marketing year from October 1 to July 13, up +6.8% from last year but down from the much larger +35% increase seen in December. Demand concerns are weighing on cocoa prices after chocolate maker Barry Callebaut AG reduced its sales volume guidance last Thursday for a second time in three months, citing persistently high cocoa prices. The company projects a decline in full-year sales volume and said there was a -9.5% drop in its March-May sales volume, the largest quarterly drop in a decade. Higher cocoa production by Ghana is bearish for cocoa prices. On July 1, the Ghana Cocoa Board projected the 2025/26 Ghana cocoa crop would increase by +8.3% y/y to 650,000 from 600,000 MT in 2024/25. Ghana is the world's second-largest cocoa producer. In a bearish factor, ICE-monitored cocoa inventories held in US ports climbed to a 10-month high of 2,363,861 bags on June 18 and were modestly below that high at 2,336,040 bags as of Tuesday. Cocoa prices have support from quality concerns regarding the Ivory Coast's mid-crop cocoa, which is currently being harvested through September. Cocoa processors are complaining about the quality of the crop and have rejected truckloads of Ivory Coast cocoa beans. Processors reported that about 5% to 6% of the mid-crop cocoa in each truckload is of poor quality, compared with 1% during the main crop. According to Rabobank, the poor quality of the Ivory Coast's mid-crop is partly attributed to late-arriving rain in the region, which limited crop growth. The mid-crop is the smaller of the two annual cocoa harvests, which typically starts in April. The average estimate for this year's Ivory Coast mid-crop is 400,000 MT, down -9% from last year's 440,000 MT. On May 30, the International Cocoa Organization (ICCO) revised its 2023/24 global cocoa deficit to -494,000 MT from a February estimate of -441,000 MT, the largest deficit in over 60 years. ICCO said 2023/24 cocoa production fell by 13.1% y/y to 4.380 MMT. ICCO said the 2023/24 global cocoa stocks/grindings ratio fell to a 46-year low of 27.0%. Looking ahead to 2024/25, ICCO on February 28 forecasted a global cocoa surplus of 142,000 MT for 2024/25, the first surplus in four years. ICCO also projected that 2024/25 global cocoa production will rise +7.8% y/y to 4.84 MMT. On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Sign in to access your portfolio
Yahoo
15-07-2025
- Business
- Yahoo
Cocoa Prices Fall on Weak Malaysian Demand Report
September ICE NY cocoa (CCU25) today is down -449 (-5.42%), and September ICE London cocoa #7 (CAU25) is down -153 (-2.85%). Cocoa prices are trading lower on demand concerns, after the Malaysian Cocoa Board and Cocoa Manufacturers Group reported on Tuesday that cocoa bean processing in Q2 fell by -22% y/y. The market is looking ahead to the quarterly Q2 cocoa grinding reports that are expected on Thursday. Cocoa grindings reports for Q1 were weak. Q1 North American cocoa grindings fell -2.5% y/y to 110,278 MT, Q1 European cocoa grindings fell -3.7% y/y to 353,522 MT, and Q1 Asian cocoa grindings fell -3.4% y/y to 213,898 MT. Coffee Prices Surge on Dry Conditions in Brazil and Tariff Threats Coffee Prices Sharply Higher on Dry Weather in Brazil and Tariff Threats Grain Market Bears Seized the Moment Last Week. What That Means for Corn, Soybeans, and Wheat. Get exclusive insights with the FREE Barchart Brief newsletter. Subscribe now for quick, incisive midday market analysis you won't find anywhere else. Monday's government data showed that Ivory Coast farmers shipped 1.73 MMT of cocoa to ports this marketing year from October 1 to July 13, up +6.8% from last year but down from the much larger +35% increase seen in December. There are reports that heavy rain in the Ivory Coast is keeping cocoa growers off their farms and is disrupting the ongoing mid-crop cocoa harvest. Demand concerns are weighing on cocoa prices after chocolate maker Barry Callebaut AG reduced its sales volume guidance last Thursday for a second time in three months, citing persistent cocoa price volatility. The company projects a decline in full-year sales volume and said it "saw its largest decline in a decade in the third quarter." Bigger cocoa supplies from Ghana are bearish for prices. On July 1, the Ghana Cocoa Board projected the 2025/26 Ghana cocoa crop would increase by +8.3% y/y to 650,000 from 600,000 MT in 2024/25. Ghana is the world's second-largest cocoa producer. In a bearish factor, ICE-monitored cocoa inventories held in US ports climbed to a 10-month high of 2,363,861 bags on June 18 and were modestly below that high at 2,338,724 bags as of Monday. Cocoa prices have support from quality concerns regarding the Ivory Coast's mid-crop cocoa, which is currently being harvested through September. Cocoa processors are complaining about the quality of the crop and have rejected truckloads of Ivory Coast cocoa beans. Processors reported that about 5% to 6% of the mid-crop cocoa in each truckload is of poor quality, compared with 1% during the main crop. According to Rabobank, the poor quality of the Ivory Coast's mid-crop is partly attributed to late-arriving rain in the region, which limited crop growth. The mid-crop is the smaller of the two annual cocoa harvests, which typically starts in April. The average estimate for this year's Ivory Coast mid-crop is 400,000 MT, down -9% from last year's 440,000 MT. Concern about consumer demand for cocoa and cocoa products is bearish for cocoa, driven by fears that tariffs will exacerbate already high cocoa prices. On April 10, Barry Callebaut AG, one of the world's largest chocolate makers, reduced its annual sales guidance due to high cocoa prices and tariff uncertainty. Also, chocolate maker Hershey Co. recently reported that Q1 sales fell by 14% and said it anticipated $15-$20 million in tariff costs in Q2, which will boost chocolate prices and further weigh on consumer demand. Mondelez International reported weaker-than-expected Q1 sales, stating that consumers are cutting back on snack purchases due to economic uncertainty and high chocolate prices. On May 30, the International Cocoa Organization (ICCO) revised its 2023/24 global cocoa deficit to -494,000 MT from a February estimate of -441,000 MT, the largest deficit in over 60 years. ICCO said 2023/24 cocoa production fell by 13.1% y/y to 4.380 MMT. ICCO said the 2023/24 global cocoa stocks/grindings ratio fell to a 46-year low of 27.0%. Looking ahead to 2024/25, ICCO on February 28 forecasted a global cocoa surplus of 142,000 MT for 2024/25, the first surplus in four years. ICCO also projected that 2024/25 global cocoa production will rise +7.8% y/y to 4.84 MMT. On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Sign in to access your portfolio
Daily Express
06-06-2025
- Business
- Daily Express
Cocoa Board looks towards Sabah interior
Published on: Friday, June 06, 2025 Published on: Fri, Jun 06, 2025 By: Marutin Ansiung Text Size: Matbali (second right) and Abdul Karim (third from left) holding up cocoa beans. KENINGAU: The Malaysian Cocoa Board (MCB) will continue to play an active role in supporting the development of the country's cocoa industry, particularly in Sabah's Interior region. Its Chairman Datuk Matbali Musah, said various initiatives are being implemented, including the Cocoa Farm Rehabilitation Programme, agricultural input assistance, research on superior cocoa varieties, and technical guidance for farmers. Advertisement He said these efforts are important to ensure that the dried cocoa beans produced meet high quality standards, thereby increasing market value and enhancing Malaysia's reputation in the international cocoa market. Matbali, who is also the Member of Parliament for Sipitang, said this while officiating the Cocoa Cluster Strengthening Programme for the Interior Zone of Sabah held here, on Thursday. Organised by the MCB, the programme brought together more than 200 participants from various zones, including Keningau, Tenom, Sook, Tambunan, and Nabawan. 'This is a proud achievement because we are not only sharing knowledge but also fostering a sense of unity among the cocoa community in Sabah,' he said. Matbali also stressed the importance of good agricultural practices, sustainable pest and disease management, and the adoption of the latest cocoa farming technologies. He said MCB hopes cocoa farmers in Sabah will take further steps by joining cooperatives and becoming involved in downstream processing, including the production of locally made chocolate products. He expressed confidence that with support from entities such as Koperasi Koko Kluster Sabah Berhad, the cocoa industry holds great potential to stimulate the local economy and attract interest from rural youth. Also present was the MCB Director Transfer of Technology And Extension (ToTE) Abdul Karim, representing its director-general Datuk Dr Ramle Kasin. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
Daily Express
28-05-2025
- Business
- Daily Express
Malaysia prioritising smaller plantations in green push
Published on: Wednesday, May 28, 2025 Published on: Wed, May 28, 2025 Text Size: Malaysian Palm Oil Council chairman Datuk Carl Bek-Nielsen previously likened the classification to 'getting slapped with a fine for speeding while you have been driving below the speed limit', calling it a blow to an industry that has significantly reduced its environmental footprint. - Pic for illustration only. Kota Kinabalu: Amid ongoing scrutiny over the European Union's decision to label Malaysia a 'standard risk' under its deforestation rules, the government is focusing on sustainability and support for smallholders in the shift towards greener practices. Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani said Malaysia is actively working to ensure that its sustainability certification systems, such as the Malaysian Sustainable Palm Oil (MSPO) standard, are accessible to and inclusive of small-scale farmers. 'What we want to do now is ensure the MSPO standards can also embrace smallholders. As of today, about 85% of our smallholders are able to comply. 'They do not have mills or refineries, but they produce the fruits. We help integrate them into the supply chain and justify their compliance,' he told reporters after launching the Malaysia International Cocoa Fair 2025 (MICF 2025) here yesterday. His remarks follow strong reactions from industry leaders, who have described the EU Deforestation Regulation (EUDR) classification as 'unjust' and damaging to the livelihoods of Malaysian producers, especially smallholders. Malaysian Palm Oil Council chairman Datuk Carl Bek-Nielsen previously likened the classification to 'getting slapped with a fine for speeding while you have been driving below the speed limit', calling it a blow to an industry that has significantly reduced its environmental footprint. Advertisement In acknowledging that Malaysia must still comply with EUDR, Johari said it needs to be done even if enforcement is not yet in effect. However, he stressed that many of Malaysia's major exporters already operate within a fully traceable and sustainable supply chain. 'A large portion of our products are exported to Europe because many of our players are large companies. These companies own the entire supply chain, from plantations, mills, and refineries to oleochemical plants, so they have full control and are able to meet export requirements,' he added. In addition to palm oil, he said, cocoa farmers are also being brought into the fold. 'I have instructed the Malaysian Cocoa Board to ensure all smallholders are registered. Every cocoa plantation must be certified. If they hold land grants from the state government, great; if not, they need to apply,' he said. Johari made it clear that the government is committed to halting deforestation, stating that any expansion in agriculture must take place on existing land. 'We must use existing land and increase yields through good agricultural practices and high-quality planting materials. That is the only way we can double our yield per hectare,' he said. Despite Malaysia's ongoing efforts, the EU's decision to classify the country as 'standard risk' has prompted questions about fairness and transparency, as the classification could result in greater scrutiny and higher compliance costs for exporters. Still, Johari remains optimistic, adding, 'Actually, our certification is already recognised. Currently, we are classified under 'standard risk', but we are working on improving this. We aim for recognition of our sustainability and traceability systems.' Earlier in his speech, he said representatives from the EU are expected to visit Malaysia in September or October to observe local practices and assess the country's regulatory readiness. 'I have also encouraged all commodity players in Malaysia, whether in palm oil, rubber or cocoa, to adopt sustainability practices if they wish to export,' he said. The push to improve sustainability systems, particularly for smallholders, is seen as essential not only for meeting international standards but also for protecting livelihoods and ensuring the long-term growth of Malaysia's commodity sectors. Also present were Deputy Plantation and Commodities Minister Datuk Chan Foong Hin and Malaysian Cocoa Board chairman Datuk Matbali Musah. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
Yahoo
28-05-2025
- Business
- Yahoo
MICF 2025 STEPS ONTO THE GLOBAL STAGE: A GLOBAL COMMITMENT TO COCOA FARM REVITALISATION, EUDR COMPLIANCE & STRENGTHENING THE NATIONAL COCOA INDUSTRY
KOTA KINABALU, Malaysia, May 28, 2025 /PRNewswire/ -- The Malaysia International Cocoa Festival (MICF) 2025, held from 24 to 27 May 2025, concluded with remarkable success and outstanding achievements in strengthening the national cocoa industry and placing it firmly on the international radar. With over 25,000 visitors attending over four days, MICF 2025 officially achieved its objectives – becoming the premier platform that unites innovation, business networking, technical knowledge, and cultural exchange within the regional and global cocoa landscape. The festival was officiated by the Minister of Plantation and Commodities, YB Datuk Seri Johari Abdul Ghani, who reaffirmed the government's commitment to revitalizing cocoa farms and boosting local production through various strategic initiatives. In his speech, he also highlighted Malaysia's need to comply with the European Union Deforestation Regulation (EUDR), which now serves as a key guideline in the international export market. "We not only need to increase our cocoa yield, but also ensure our production complies with traceability, accessibility, and sustainability standards as outlined in the EUDR. Malaysia must be recognized as a responsible and sustainable cocoa producer," he stated. He further shared that the government will utilize existing land and introduce high-quality modern agricultural practices to double cocoa yields. He urged smallholders, investors, and cooperatives to embrace this national initiative, which also opens new economic opportunities, especially in rural areas. "Although local cocoa bean production remains modest, our efforts have shown a significant 65% increase – from 269 tonnes in 2023 to 445 tonnes in 2024. We must balance a strong downstream sector with more sustainable upstream production," he added. "MICF comprises three main components – exhibitions, conferences, and the gala dinner – all of which contribute to the objective of strengthening the cocoa value chain from farm to the global market," he said. MICC 2025 welcomed over 1,000 participants from 25 countries, including industry players, government agencies, researchers, and students, in a two-day international conference. The conference featured presentations and forums covering topics such as cocoa sustainability, product innovation, traceability, smart agriculture, and cooperative development. Chairman of the Malaysian Cocoa Board (MCB), YB Datuk Matbali Musah, emphasized in his speech that MICC serves not only as a platform to showcase innovation and business networks, but also contributes to industry knowledge empowerment through expert presentations and industry leaders from around the globe. A total of 160 participants from 25 countries took part in the international MICE exhibition, while the Cocoa Gala Dinner (MICD) served as a platform for appreciation and networking, also showcasing Sabah's unique culture to international participants. The Director General of the Malaysian Cocoa Board, Datuk Dr. Ramle Kasin, also played a key role in the success of MICF 2025. He led the MCB team in planning and executing what is considered the most prestigious event in the national cocoa industry calendar. Under his leadership, MCB also strengthened research and development (R&D) in cocoa breeding, processing techniques, and innovative product development. Technical visits to cocoa farms in Ranau and cultural centers around Kota Kinabalu were among the festival's key attractions, giving participants the chance to witness best practices in cocoa farming and experience the richness of local culture. With Malaysia's cocoa export value reaching RM15 billion in 2024 and export volume increasing to 690,000 tonnes, MICF 2025 clearly demonstrated that the Malaysian cocoa industry remains relevant, has sustainable growth potential, and is globally competitive. In his closing speech for MICF 2025, which also served as the official closing ceremony, the Director General of the Malaysian Cocoa Board, Datuk Dr. Ramle Hj. Kasin, expressed his utmost appreciation to all parties involved in the success of MICF 2025. He expressed hope that the commitment, cooperation, and dedication shown throughout the festival will continue in efforts to elevate the national cocoa industry to greater heights. "I believe that with the networks established and the ideas shared during this festival, we can usher the national cocoa industry into a new era that is more sustainable and internationally competitive," he concluded. View original content to download multimedia: SOURCE Malaysian Cocoa Board Error while retrieving data Sign in to access your portfolio Error while retrieving data
