Côte d’Ivoire’s cocoa sector is facing fresh turmoil as producer groups warn of a deepening crisis in the 2025–2026 season, criticising the management of a 291 billion CFA franc fund meant to clear excess cocoa stocks. Industry bodies have described the process as opaque and poorly executed, calling for urgent government intervention. The tensions come despite a strong start to the season, with record prices of 2,800 CFA per kilogram. However, changes to the marketing schedule and a sharp price cut to 1,200 CFA per kilogram have hit farmers’ incomes hard, raising concerns about the sector’s stability.
The crisis centres on the management of a fund intended to stabilise the market by purchasing excess cocoa stocks when global prices fall. Producers say governance issues, weak oversight, and lack of transparency have led to delays and poor implementation, leaving significant stock unsold and fuelling mistrust. The situation has drawn comparisons to the 2016–2017 crisis, when similar governance failures disrupted the sector and undermined farmer confidence. For a country that accounts for roughly 40 per cent of global cocoa production, instability in the sector has implications that extend far beyond its borders.
From an economic perspective, the crisis threatens to undermine the benefits of the record farmgate prices that were paid earlier in the season. Farmers who received high prices for their main crop now face sharply lower prices for the mid-crop, creating income volatility that complicates household planning and investment decisions. The uncertainty also affects cooperatives and exporters who rely on predictable supply chains to meet contractual obligations. If the crisis escalates, it could disrupt the flow of cocoa to international markets, tightening global supply and potentially pushing prices higher.
The governance failures highlighted by producer groups point to deeper institutional challenges within the sector. The Coffee-Cocoa Council, which regulates the industry, has faced persistent criticism over transparency and accountability. The opaque management of the stabilisation fund raises questions about whether the institutions responsible for overseeing the sector can effectively balance the interests of farmers, exporters, and the government. For international buyers and chocolate manufacturers who source from Côte d’Ivoire, governance quality is a factor in supply chain risk assessments.
The timing of the crisis is particularly sensitive. Côte d’Ivoire has been working to increase domestic processing capacity and capture more value from its cocoa production, attracting investment in grinding facilities that require stable supply and predictable pricing. Prolonged instability could deter further investment and undermine efforts to move up the value chain. The government’s response to the current crisis will signal whether it can address the governance gaps that have repeatedly disrupted the sector.
