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Brazil cocoa arrivals surge as main crop kicks in
04 | 11 | 2010
AGROINFO - Cocoa arrivals from Brazil’s main production state Bahia surged last week to their highest level in 16 years as the main crop began to gather pace, data from Bahia Commercial Association showed.

Cocoa arrivals from Brazil's main production state Bahia surged last week to their highest level in 16 years as the main crop began to gather pace, data from Bahia Commercial Association showed.

Cumulative arrivals in the world's sixth-ranked cocoa producer, including imports, amounted to 2.4 million 60-kg bags by Oct. 31, 1.4 percent lower than the 2.44 million bags delivered to warehouses a year earlier.

While Bahia state's arrivals surged to 94,452 bags compared to 36,178 in the same week last year, deliveries from other states were virtually stagnant at 10,863 bags compared with 10,208 a year ago.

"Arrivals from the other states declined as is usual for this time of the year," Hartmann said.

He said two of the smaller merchant companies that supply data for the arrivals statistics had failed to submit their reports prior to Tuesday's national holiday, making it likely a "minor" upward revision to the figures would be necessary.

Hartmann said final totals for the mid crop and the production in Brazil during the 2009/10 international crop year were likely to be available within a week once data from one large processor had been verified.

Farm gate prices in Bahia decreased to 77-78 reais ($45.08-$45.66) per arroba (15 kg) on Monday from 80-81 reais last week. Business was closed on Tuesday due to the All Saints Day holiday in Brazil.

Weather conditions could vary in different parts of Bahia in the coming days, with heavy rain in the south and only light, scattered showers elsewhere. Temperatures should range from 20 to 30 degrees Celsius (68-86 degrees Fahrenheit).

Brazil was the world's No. 2 cocoa producer until only a few decades ago. The fungal disease witch's broom devastated its plantations, slashing output by more than half.

The country's domestic production data serves as an indicator of how much extra cocoa Brazil is likely to import to top off its own supply, most of which is consumed locally.



Source: Reuters
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