You might be right but I remain concerned about immediate future. Even after the news that cocoa arrivals were down this week, London closed today at Day lows at 873.
DJ Ivory Coast Daily Cocoa Arrivals Seen 25%-50% Down On Avg
(Repeating)
ABIDJAN (Dow Jones)--Daily arrivals of cocoa beans at Ivory Coast's ports
so far this week are down by 25%-50% from the average daily arrivals for the
end of November, shippers said Wednesday.
Arrivals at the southwestern port of San Pedro were an estimated 3,000
metric tons Monday and Tuesday, down 25% on average daily arrivals of around
4,000 tons typical for this time of the year, they said, adding they expected
2,000 tons to arrive at the port Wednesday.
"We had 1,000 tons this morning here in San Pedro and I believe another
1,000 tons will have arrived by the end of the day," a leading shipper told
Dow Jones Newswires.
A source with access to official arrival data said the port had received
about 27,000 tons of beans in the seven days to Nov. 21, including some 5,000
tons bought by the San Pedro-branch of Cipexi, owned by Continaf, of the
Netherlands, and 3,000 tons purchased by Cargill San Pedro.
This compares to 54,132 tons purchased at the ports of Abidjan and San
Pedro in week 47 of last year.
No data were available for the port of Abidjan but shippers there said
arrivals had slumped as compared to last week.
Abidjan handles more than half of Ivory Coast's cocoa exports, consisting
of beans and semi-finished cocoa products. In November 2003 Abidjan shipped
58% of all cocoa exported that month.
"What we need is a price of over 400 (CFA francs per kilogram). That's when
the cocoa will start coming down again," said an Abidjan shipper.
He said he paid on Wednesday 385 CFA francs ($1=XOF501.611) a kilo of beans
delivered at his port warehouse.
Other shippers quoted slightly lower prices of XOF375-XOF380/kg.
