Christian of CPM Group said on the demand side, cocoa is just modestly higher.
At the same time though, there have been some supply concerns driven by political problems in the Cote d'Ivoire, West Africa, the largest producing country of cocoa. These political issues have led to a one-month export ban on Cote d'Ivoire cocoa as pressure is applied to the government to force the president to step down. "There's an ill ease in the cocoa market because of the political risks within Cote d'Ivoire. And that has pushed the price up."
Still, Christian noted that overall supply shouldn't experience any shock given that the current political situation doesn't' affect any of the cocoa that's already been licensed for export. In addition, cocoa exports in Cameroon and Ghana have likely been rising.
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