Dubai's DMCC to Establish Cacao Centre for Enhanced Cocoa Trading

Post by : Bianca Suleiman

The DMCC (Dubai Multi Commodities Centre) is poised to enhance its influence in the global agri-commodities market with the introduction of a dedicated Cacao Centre. This initiative aims to foster a comprehensive ecosystem for cocoa trading, processing, and innovation.

By establishing the Cacao Centre, DMCC seeks to unite the complete cocoa value chain—from sourcing and storage to processing, branding, distribution, and financing. This endeavor builds upon the successful frameworks seen in its coffee and tea centres.

Currently, DMCC is home to 88 firms involved in cocoa trading, chocolate production, and confectionery. The centre will organize and expand this vibrant sector on a single platform, enhancing both efficiency and global connectivity.

Strategic Collaborations

The center will be developed in collaboration with:

• Kumbi Cocoa, dedicated to fostering equitable relationships with farmers.

• Ribezzi Group, a leading Dubai-based conglomerate overseeing project development.

Together, they aim to establish infrastructure in Dubai for the storage, trading, and processing of cocoa beans into semi-finished goods like cocoa liquor, cocoa butter, and cocoa powder.

Enhanced Infrastructure and Offerings

The DMCC Cacao Centre will provide:

• Grading and quality assurance

• Storage and blending solutions

• Branding and packaging capabilities

• Access to trade finance via DMCC's FinX platform

This infrastructure will assist cocoa producers, cooperatives, and traders in managing price volatility and limited funding access.

Expanding Global Cocoa Market

The global cocoa sector is rapidly growing:

• Projected to be valued at $16.6 billion by 2025

• Expected to rise to $26.2 billion by 2035

Additionally, the premium chocolate segment is witnessing growth driven by a demand for high-quality and health-conscious offerings.

Dubai's Emerging Impact

While Dubai continues to grow its cocoa trade footprint, recent statistics indicate strong momentum:

• The UAE imported $17.3 million worth of raw cocoa beans in 2023.

• Finished cocoa product imports totaled $65.3 million.

• Raw bean exports reached $16.4 million.

These figures reveal burgeoning trade activity through Dubai.

Bridging the Global Gap

With around 75% of the world’s cocoa produced in West African nations, there exists a significant disparity in the distribution of final profits. The DMCC Cacao Centre aims to rectify this by establishing direct connections between farmers and international markets, financial support, and value-added services.

Leveraging strong logistics, warehousing, and trade financing capabilities, Dubai is positioning itself as a vital hub for a more transparent, efficient, and equitable global cocoa trade.

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