Increase in Rainfall Yields Lower Cost in Crop Production
Crops prices are at a decline due to greater forecast in growth from higher than average rainfall. The abundant rainfall in the Daloa region, where about 1/3 of Ivory cost crop are produced, has close to three times the average rainfall. Based on the supply of crops, the commodities price for Standard and Poor’s GSCI gauge on 24 commodities is down 3.3 percent last week, the biggest decline since October 2012.
Previous concerns on the prospective dry weather has driven price higher. However, this increase increase did not last long since the actually reports show a above normal average, which eventually caused a decease in price. The commodity price of Cocoa for July has dropped .09 percent to $2,191 a metric in on NYSE Liffe trade session. Also While sugar, also know as refined sugar, has dropped by .2 percent to $489 a ton; raw sugar fell .3 percent to 17.62 cents per pound. Robusta Coffee dropped .5 percent to $2,046 a ton and Arabic beans are down .5 percent to $1.3885 a pound.
Written by: Victor To