Shortfall to benefit local cocoa: Firm

By GLORIA BAUAI
COCOA exporter Elliven believes that a shortfall in West Africa’s cocoa production presents a good opportunity for the PNG cocoa industry to export more.
Elliven managing director Ron Neville said Ivory Coast and Ghana which sold cocoa to Indonesian and Malaysian factories had seen a steep decline in production last year due to various reasons.
He said this could bring one million metric tonnes of processing capacity to PNG’s doorstep.
“Nearby Indonesia has about 12 factories which are able to process 600,000 metric tonnes in a year. Malaysian factories process 400,000 metric tonnes a year,” he said.
“These factories used to buy from West Africa and now are looking to us. PNG however, is only at 40,000 metric tonnes a year – less than one percent of world production. Our advantage is that we are close to these countries.”
He said cocoa prices had dramatically increased to K1,170 a bag this month, compared to K500 a bag this time last year.
He encouraged industry players to increase production and take advantage of this opportunity. But he warned that quality must be maintained.
“Elliven have the market access,” he said.
He urged landowners to plant cocoa and the Cocoa Board to make sure that fermenteries are inspected, licensed, registered and fit.
“Cost in the supply chain impacts the price farmers get.
“The Government can provide roads for product to market and MPs must liaise with international organisations to provide seed capital.”