ICCO statement on Ebola
The International Cocoa Organisation (ICCO) has made a statement to say that its thoughts and prayers are with the citizens and the governments of three of its member countries – Guinea, Liberia and Sierra Leone – which are most affected by the Ebola outbreak in West Africa. The organisation is firmly supportive of all ongoing efforts, at local, national and global level, in the prevention and eradication of this disease in the region.
Regarding the impact of Ebola on the international cocoa sector, it is noted that the harvesting and shipping of cocoa in Guinea, Liberia and Sierra Leone have been seriously curtailed. However, combined cocoa production in these three countries represents about 0.7 per cent of global output and is likely to have a minor bearing on the global cocoa market.
The total West African region supplies about 70 per cent of the world’s cocoa and Ivory Coast, which shares its western border with Liberia and Guinea, contributes almost 40 per cent. While there have been some concerns that Ebola could reach Ivory Coast, the rapid and strong reaction of its government has kept the disease at bay so far, and the country has yet to register a single case. The main harvest for cocoa, which runs from October to March in Ivory Coast, is currently well under way, and stakeholders are making all efforts to ship cocoa from the country as soon as it is available.
Ghana and Nigeria are the other two major cocoa producing countries in the region. No case has been declared in Ghana and, after a handful of initial cases decisively handled by its government, Nigeria is on its way to being declared Ebola-free.
Current international cocoa prices seem to have factored in the Ebola issue and in the absence of a major negative development, significant disruption of the market in the medium term is not expected. Nevertheless, in addition to concern over Ebola, many other factors affect cocoa prices on the market and these should be taken into account.
The ICCO continues to monitor the situation in the affected regions, and will report on any significant change if and when it occurs.
