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Abysmal Hike in Global Cocoa Price and its Implications on Cocoa Plantations in Tamil Nadu - A Critical Analysis

C. Sudhalakshmi, J. Lekhavarshinee, P. Latha, J. Suresh

International Journal of Environment and Climate Change · pp. 512–518 · Published 13 Jul 2024

10.9734/ijecc/2024/v14i74308

Abstract

Cocoa belonging to the family Sterculiaceae has its origin in South America and later it had spread to Europe, Africa and Asia. In Tamil Nadu, cocoa is accommodated as an intercrop in arecanut and coconut plantations especially in South India. But over the past few years, the acreage under cocoa showed a steady decline and the area currently hovers around 5,000 ha especially concentrated in Coimbatore, Theni and Kanyakumari districts of the state. Price volatility is the key player in culminating cocoa plantations in the state. But the recent global shortage of cocoa associated with climatic vagaries and biotic stress like swollen shoot virus and black pod disease in the leading cocoa producers of the world has prompted a positive note in the price of cocoa beans in India. Government policies like ban on deforestation and engaging child labourers for farming and underinvestment in cocoa gardens in the West African countries also added hue to the problem. A record high of ten fold increase in price was observed during the last quarter of 2023 and first quarter of 2024. According to the International Cocoa Organization, global cocoa supply will decline by almost 11% over the 2023/2024 season. Global price has a direct impact on cocoa plantations in the state of Tamil Nadu as many cocoa orchards were cleared due to the lack of remunerative price. But the abysmal price hike in the global front has invited the farmers to rejuvenate the abandoned cocoa plantations and bring new area under cultivation in Tamil Nadu as price was the key player in giving up the crop during 2010s by the farmers. Abysmal hike in global cocoa price has brought a ray of hope for the expanding acreage of cocoa in the state of Tamil Nadu.

Cocoa climate change price hike swollen shoot virus supply deficit

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