A report from the European Cocoa Association (ECA) showed that cocoa bean processing by European based manufacturers has decreased to 342,713 metric tonnes in the 4th quarter of 2010. Grindings are a key indicator of demand for cocoa from the chocolate and foods industries and the ECA accounts for around two-thirds of European bean processing. But food analysts at Euromonitor International argue that the fall in cocoa grindings by 2.4%  in the 4th quarter of 2010 is not an indication of a real slowdown in the chocolate market in Europe because grindings are not the only indicator of demand. The lower 4th quarter figures can also be based to the fact that leading chocolate manufacturers were in restocking rather than processing mode during that period in order to offset higher prices for cocoa.

Actually Euromonitor estimates a retail volume growth of 2% in 2011 for chocolate confectionery in Europe, with rapidly recovering UK market's support. The other interesting market for chocolate in 2011 is Turkey. Turkey will have around a  7% increase in retail chocolate sales according to Euromonitor estimates.

The analysts also predict that the cocoa futures markets will be stable in next few months based on the fact that supplies are getting through to the ports in the Ivory Coast in spite of the political crisis, in addition to the better yields from the heavy rainfall in Ghana.