Côte d’Ivoire, the world’s top cocoa producer, is on track for a record-breaking harvest of over 1.45 million tons for the 2024–2025 season—an increase from 1.29 million tons last year. While this signals a strong year for the sector, it has also exposed growing tensions between multinational traders and local actors, putting pressure on the country’s cocoa governance model.

Rising Output, Rising Tensions

As cocoa prices climb globally, disputes over purchasing terms have intensified between local suppliers and major international firms including Cargill, Olam, and Barry Callebaut. Local players are pushing for higher farmgate prices, while multinationals are resisting steep hikes, citing thin margins and supply chain volatility.

A temporary halt in cocoa purchases by top traders occurred earlier this season due to the pricing deadlock. The Coffee and Cocoa Council (CCC), Côte d’Ivoire’s regulatory body, has so far stayed on the sidelines, preferring to assess the market once the main harvest concludes.

Persistent Smuggling Threatens Market Stability

Despite tighter monitoring, cocoa smuggling remains rampant. Beans are still being illegally diverted to neighboring countries like Burkina Faso, Guinea, and Liberia, where traders can sometimes secure better prices or fewer regulatory constraints. This undermines domestic oversight efforts and deprives Côte d’Ivoire of crucial export revenues.

Top Traders and Shifting Market Dynamics

In Côte d’Ivoire’s cocoa trade landscape:

• Cargill leads with 170,000 tons

• Followed by Olam, Barry Callebaut, Touton, and local company S3C

In response to growing concerns about market concentration and supply access, the CCC is introducing new regulations. All licensed traders will soon be required to process cocoa at their own facilities, curbing the dominance of export-focused firms and boosting domestic value addition.

Processing Power: Local Transformation on the Rise

One of the most ambitious projects is the Transcao-CI cocoa processing plant in Akoupé-Zeudji, a 100,000-ton facility developed by the CCC in partnership with Malaysian firm Guan Chong Berhad. This factory is part of a broader push to increase local cocoa transformation, capture more value within the country, and reduce reliance on raw bean exports.

Outlook: A Balancing Act Ahead

With a record harvest, volatile global prices, and regulatory reforms on the horizon, Côte d’Ivoire’s cocoa sector is navigating a complex crossroads. The outcome of the price dispute, the success of new processing mandates, and the containment of smuggling will all be key in determining whether this cocoa boom translates into long-term sustainable gains for producers and the national economy.