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On Thursday, September 18, 2025, the December US Cocoa futures (CCZ25) traded around 7,385.00, while September London Cocoa futures closed at or around 7,314.71..
The ICCO’s August 2025 Report has given cautious optimism, despite production challenges in West Africa, regarding the 2025-26 main crop, contributing to a narrowing backwardation in futures contracts.
Other market sentiments and policy changes fuelling an upbeat mood from the ICCO are:
- An executive order from the US government on 8 September 2025, exempted cocoa from certain tariffs, potentially alleviating import cost concerns.
- The cocoa market remains influenced by supply issues, trade policies, and market responses, which will shape the upcoming season's dynamics.
August Price Movements
- Cocoa prices initially rose in August, with London prices increasing from US$7,285 to US$7,901 per tonne (8% rise) and New York prices from US$8,220 to US$8,721 per tonne (6% rise).
- The price surge was driven by concerns over the 2024-25 midcrop and adverse weather conditions affecting crop survival for the upcoming season.
- In the latter half of the month, prices declined due to weak demand, particularly a significant -16.3% drop in Asia's grindings, the lowest in eight years.
- By the end of August, London prices fell to US$7,191 (9% drop) and New York prices to US$7,635 (12% drop) from their mid-month peaks.