Cocoa production forecast in Ivory Coast seen falling in 2011/12

PARADISE ISLAND, Bahamas,  - Cocoa production in top grower and war-stricken Ivory Coast will likely decrease over the next two years, leaving the rest of the producing nations to pick up the slack for global demand, Macquarie Bank's Kona Haque said on Saturday.

"Right now there's not a lot of incentive for farmers to tend to the midcrop (in Ivory Coast). They probably don't even have workers there," Haque said, while speaking on a panel at the Cocoa Merchants' Association of America conference in the Bahamas.

Ghana cocoa output break record mid-season

ACCRA, April 4, 2011- Cocoa output from Ghana broke a record less than halfway into its year-long season.

Declared cocoa purchases by private buyers to Ghana's industry regulator Cocobod -- the best reflection of output in the West African state -- reached 743,603 tonnes by March 24 since the start of the season in October.

France's going to join UN action in Ivory Coast

PARIS, April 4 , 2011 - President Nicolas Sarkozy's Elysee Palace office said on Monday that France has authorised its military to participate in a United Nations operation in Ivory Coast. The army will  protect civilians against escalating violence.

The Elysee Palace said the operation aimed to neutralise heavy weapons belonging to troops loyal to Laurent Gbagbo who are fighting forces supporting Alassane Ouattara's rival claim to the presidency.

"The Secretary General of the United Nations requested the support of French forces in these operations," said the statement, which added that Sarkozy had responded favourably and in line with a U.N. mandate to protect civilians.

France has close to 12,000 nationals in the ex-colony and announced earlier on Monday that it was sending in a further 150 soldiers from Gabon, which would bring the number of French troops there to 1,650.-----

NY Coffee, Cocoa & Sugar market close review for today, April 4, 2011

COFFEE
* Since Feb 14 2011, Today's settlement price is the lowest. May contract  for  arabica coffee futures finished down 3.85  cents or 1.5 percent at $2.5605 per lb.
 

* In other side, arabica premium over robusta hit a two-week high  as the robusta May/July premium collapsed.

*  ICE Data : Total arabica open interest rose to 124,466 lots on April  1, up 870 lots from the previous day.

*  According to source, the market weak on seasonal pressure

* Market continued to fall, dropping nearly 14 percent from  last month's peak at $2.9665 per lb, the highest in 34 years  for the second-position contract, but tight global supplies  were still seen as bullish to the market

COCOA
* May contract for cocoa futures closed up $9 at $3,020 per  tonne.
 

* May found good support at $2,900-$2,925 per tonne,  preventing strong losses after falling nearly 23 percent from  the March 4 32-year high at $3,775 - traders.
 

* Forces backing Ouattara began a fresh assault to remove  Gbagbo from his last stronghold in Abidjan while France ordered  more troops into the West African country to protect civilians.
 

* Heavy volume amid the escalating crisis in Ivory Coast  and due to May/July spreading ahead of the spot contract's  first notice day April 15 - traders.
 

* Ivory Coast's weather last week was ideal for the  development of the April-to-September mid-crop with both rain  and sunshine, but political instability was disrupting the   harvest - farmers, analysts. ------

London Coffee & Cocoa market close review for today, April 4, 2011

Liffe May robusta coffee ends $82 lower at $2,339 a tonne as the premium on the contract over July collapsed to close at $31. Heavy selling of both May flat prices and the May/July spread weighed.
 

Liffe July cocoa ends 5 pounds higher at 1,955  pounds a tonne, paring earlier gains. The market was supported  by continued conflict in Ivory Coast as dealers expectations of  a resolution over the weekend were not met. -----

Quattara plans to strike in Abidjan

IAlassane Ouattara,vory Coast's internationally-recognised leader,  is poised to strike in Abidjan to defeat his cornered rival, a top official said on Monday.

In the economic capital Abidjan, fighting has abated since Ouattara troops first besieged the city five days ago, but his camp has said the time is ripe for a rapid offensive against a cornered Gbagbo, who is fighting to the last.

US Coffee and Cocoa market close for week end, April 1, 2011

COFFEE
* May arabica coffee futures dropped 4.25 cents to  close at $2.599 per lb.
* Market extends correction from recent rally to over-30  year highs.
* On the week, arabica coffee is down 1.6 percent.
* Market fundamentals still seen as bullish due to shortage of high quality washed arabica beans.

COCOA
* Key May cocoa futures rose $59 to finish at  $3,011 per tonne.
* On the week, the market is down 7.12 percent.
* Market open interest at 3-year high traders says rise caused by increase in short positions.
* Cocoa prices seen sliding to levels in November once political crisis in Ivory Coast is resolved.
* Victory by presidential claimant Alassane Ouattara could  free up cocoa exports bottled up by the fighting in the West  African nation. ----