Cocoa Prices in Papua New Guinea Projected to Remain High Throughout the Year

June 6, 2024 - According to a report by the Westpac Bank of Papua New Guinea, cocoa prices in the country are expected to remain elevated throughout 2024.

The national average price for cocoa in Papua New Guinea is currently 1,500 kina per bag, with major exporters selling dry cocoa beans at 1,500-1,600 kina per bag. Wet cocoa bean prices have also seen a significant increase, now averaging 5 kina per kilogram.

The Westpac Bank cites several factors contributing to the high cocoa prices, including poor weather conditions in the major West African producing regions, aging cocoa trees, and disease outbreaks across growing areas, all of which have led to a global supply shortage.

The report forecasts that cocoa prices will likely remain at elevated levels until the end of 2024, when a new crop from Africa is expected to hit the market. Prices are then anticipated to gradually ease through the second half of 2025.

Representatives from the Papua New Guinea Cocoa Board, prominent exporters, and local farmers all agree that the current price surge is unprecedented and a historical rarity. Cocoa growers in the country are benefiting from the windfall and using the opportunity to improve their livelihoods.