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The Cocoa price has reached a new record high due to a shortage of supply. A further increase in prices is quite possible, strategists at Commerzbank say.
The Cocoa price reached a new record high at the beginning of March due to a shortage of supply. This is due to poorer harvests in the two most important producing countries, Ivory Coast and Ghana. The Cocoa market is therefore likely to post a record supply deficit this crop year, with stocks falling to their lowest level for decades.
No relief is expected in the short term, meaning that a further increase in prices is quite possible.
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