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Farmgate prices in Ivory Coast's cocoa regions were mainly up between October 17 to 23, Coffee and Cocoa Bourse (BCC) data showed on Tuesday as competition among buyers rose and as some farmers remained reluctant to sell.

In the western town of Gagnoa, where the average price increased by 15 CFA francs per kg to 330 during the period, one co-operative manager said merchants were raising their prices to encourage farmers to more readily part with their beans.

"Buyers have been offering more to make sure they get plenty of cocoa. Since the indicative farmgate price was announced, some farmers have been refusing to sell," said Sinali Bakayoko, the manager of Coopraba co-operative.

The latest indicative price of 400 CFA francs per kg is a guideline but not mandatory level for buyers but they say it is out of touch with market realities and many say they barely make this amount when selling on beans at the ports.

Some farmers however have been stockpiling their beans, demanding to be paid the full 400 CFA francs but this has left the cocoa exposed to damp and mould during the wait.

Prices fell by 10 CFA francs per kg to 325 CFA in the western town of Daloa in a region which produces a quarter of Ivory Coast's cocoa output. One farmer said the reason was the deteriorating quality of stockpiled cocoa.

"The fall in prices here is due to poor quality. A lot of the cocoa has been stored for a long time before being sold because farmers were waiting for the new farmgate price. "Some beans are mouldy," said farmer Magloire Gnankan.

Copyright Reuters, 2005


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