TRADERS CUT BAHIA TEMPORAO COCOA CROP ESTIMATE Trade estimates of the coming May/September temporao harvest in Brazil's main cocoa growing state of Bahia are now in the 1.5 mln to 2.0 mln 60-kilo bag range against 2.0 mln to 2.5 mln two weeks ago. Traders in the state capital Salvador told Reuters the effects of a dry period in the first six weeks of the year had been harsher than thought earlier. Although good flowering had followed the onset of rains in mid-February subsequent pod setting was dissappointing. Last year's temporao, also hit by a dry spell, was 2.77 mln bags. In 1984 severe drought cut the crop to 1.79 mln bags. The traders said another factor leading to lower crop predictions is that many farmers are not caring properly for plantations because of low returns on their investment. Manpower, fertiliser and other costs have been cut back as farmers feel the pinch of the rise in interest rates over the past six months coupled with low bean prices. If such economies continue into the winter months both the temporao and the developing October/April main crop could face serious damage from pod rot attacks on trees which would normally be treated against the disease. Recent very wet weather has already caused some isolated incidences of pod rot but reports from the growing regions say these are not yet significant. The traders said they expect very low deliveries of temporao beans in the first three months of the harvest and the bulk will not appear until the last month, September. Despite the low loads, trees are said to be in excellent condition and recent flowering and pod setting - which will lead to late temporao/early main crop beans - has been good.