New York, March 28 - Fortis on Friday lowered its estimate for the global cocoa deficit in 2007/08 to 5,000 tonnes from 32,000 tonnes.
The investment bank said in a monthly report the adjustment was partly due to improved growing conditions among a variety of smaller producers in Africa, Asia and South America.
This will mean an output increase of 20,0000 tonnes, bringing total production to 3.679 tonnes in the current crop year, the report said.
"We now see global ending stocks at 1.609 million tonnes (previously 1.548 million tonnes) with a stocks/consumption ratio of 44 percent (previously 42 percent)," the report said.
No. 2 cocoa producer Ghana's forward sales of its 2008/09 main crop have been moving at unprecedented levels, with more than 350,000 tonnes already sold forward, Fortis said.
"Manufacturers continue to maintain cover at historically very low levels," the report added.