Cocoa Hits Two-Year Low as Europe Grinds Fewest Beans Since 2013

Cocoa futures fell to a two-year low in London after Europe’s cocoa processing posted a steeper-than-expected slump, showing the extent of demand destruction as the industry reels from the lingering impact of record prices.

Europe is the world’s top consuming region, making its grindings a key focus of the global market. The amount of beans ground into butter fell to 304,470 tons in the fourth quarter, an 8.3% drop from a year earlier, according to figures released Thursday by the European Cocoa Association. That’s the lowest for any quarter in data going back to 2013.