{"id":662,"date":"2019-03-28T13:18:27","date_gmt":"2019-03-28T13:18:27","guid":{"rendered":"http:\/\/commodity-trading.campus.local\/commodity-trading\/?p=662"},"modified":"2019-03-29T08:40:40","modified_gmt":"2019-03-29T08:40:40","slug":"bulletin-2-the-surplus-from-the-cocoa-crop","status":"publish","type":"post","link":"https:\/\/campus.hesge.ch\/commodity-trading\/bulletin-2-the-surplus-from-the-cocoa-crop\/","title":{"rendered":"Bulletin 2 \u2013 \u201cThe surplus from the cocoa crop\u201d"},"content":{"rendered":"\n<p><strong>Trade news<\/strong><\/p>\n\n\n\n<p>Coffee and cocoa\u2019s trading as a whole<\/p>\n\n\n\n<p>From HR Maritime, the number of trading houses around the lake is high.<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"732\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-17-1024x732.png\" alt=\"\" class=\"wp-image-663\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-17-1024x732.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-17-300x215.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-17-768x549.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-17.png 1888w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<p>Let us remember that the leman region is<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"636\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-18-1024x636.png\" alt=\"\" class=\"wp-image-665\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-18-1024x636.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-18-300x186.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-18-768x477.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-18.png 1119w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><figcaption><br><br>On the left: % of nbr of trades (from HR maritime)<br>On the right: USDA report on coffee world production<br><br><\/figcaption><\/figure>\n\n\n\n<p>There are many commodity trading house of coffee and cocoa in Geneva. We will focus on some of them.<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"757\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-19-1024x757.png\" alt=\"\" class=\"wp-image-666\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-19-1024x757.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-19-300x222.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-19-768x568.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-19.png 1888w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><figcaption><br><\/figcaption><\/figure>\n\n\n\n<p>The big players of coffee are nearby&nbsp;:<\/p>\n\n\n\n<ul><li>Sucafina<\/li><li>Louis Dreyfus<\/li><li>OLAM international<\/li><li>Ecom agro (in Lausanne)<\/li><\/ul>\n\n\n\n<p>Many small\/medium size companies:<\/p>\n\n\n\n<ul><li>Walter Matters&nbsp;<\/li><li>DIT<\/li><\/ul>\n\n\n\n<p>Traders in coffee are usually traders in Cocoa as well. So if you find a coffee trading house, there is a very high chance that it trades Cocoa as well.<\/p>\n\n\n\n<p>What you can usually find on the traders\u2019 website news\u00a0are usually the same:<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"727\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-20-1024x727.png\" alt=\"\" class=\"wp-image-667\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-20-1024x727.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-20-300x213.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-20-768x545.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-20.png 1888w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"575\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-21-1024x575.png\" alt=\"\" class=\"wp-image-668\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-21-1024x575.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-21-300x168.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-21-768x431.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-21.png 1888w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><figcaption><br><\/figcaption><\/figure>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"365\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-22-1024x365.png\" alt=\"\" class=\"wp-image-669\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-22-1024x365.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-22-300x107.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-22-768x274.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-22.png 1888w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<ul><li>M&amp;A<\/li><li>Sustainability<\/li><li>CSR<\/li><li>Actions in favour of 3rd world countries<\/li><\/ul>\n\n\n\n<p>It seems like they put a lot of effort into marketing themselves as good companies or big companies that buy other companies.<\/p>\n\n\n\n<p>Where do the traders hang out? According to some traders:<\/p>\n\n\n\n<ul><li>Chez Philippe&nbsp;<\/li><li>River Side Caf\u00e9<\/li><\/ul>\n\n\n\n<p>Very well situated according to the map<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1011\" height=\"759\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-23.png\" alt=\"\" class=\"wp-image-670\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-23.png 1011w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-23-300x225.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-23-768x577.png 768w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"888\" height=\"450\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-24.png\" alt=\"\" class=\"wp-image-671\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-24.png 888w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-24-300x152.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-24-768x389.png 768w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"829\" height=\"449\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-25.png\" alt=\"\" class=\"wp-image-672\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-25.png 829w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-25-300x162.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-25-768x416.png 768w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<p>What about coffee\/cocoa traders? Where can we find them?&nbsp;<\/p>\n\n\n\n<p>SCTA (Swiss Coffee Trade Association)<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"380\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-26-1024x380.png\" alt=\"\" class=\"wp-image-673\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-26-1024x380.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-26-300x111.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-26-768x285.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-26.png 1259w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<p>Themes:<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"853\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-27-1024x853.png\" alt=\"\" class=\"wp-image-674\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-27-1024x853.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-27-300x250.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-27-768x640.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-27.png 1125w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<p>Where are they?<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"753\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-28-1024x753.png\" alt=\"\" class=\"wp-image-675\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-28-1024x753.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-28-300x220.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-28-768x564.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-28.png 1109w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<p>We find all the big buyers and traders in the list:<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"629\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-29-1024x629.png\" alt=\"\" class=\"wp-image-676\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-29-1024x629.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-29-300x184.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-29-768x471.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-29.png 1888w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<p>Also:<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"956\" height=\"615\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-30.png\" alt=\"\" class=\"wp-image-677\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-30.png 956w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-30-300x193.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-30-768x494.png 768w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<p>Where sponsors are mainly coffee buyers. We can find big players:<\/p>\n\n\n\n<ul><li>M\u00f6venpick<\/li><li>Jakobs Douwe Egberts (joint venture of Mondelez and DE master blender)<\/li><li>HERMO (torefactor company in Switzerland)<\/li><li>Lavazza (Italian company big in the coffee market as buyers)<\/li><\/ul>\n\n\n\n<p>Coffee traders\u00a0wage\u00a0according to \u201cglassdors\u201d:<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"424\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-31-1024x424.png\" alt=\"\" class=\"wp-image-678\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-31-1024x424.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-31-300x124.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-31-768x318.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-31.png 1034w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<p>Also seen: 75-80k in other job offers in indeed.ch (for coffee\/cocoa)<\/p>\n\n\n\n<p>(All sectors)\u00a0<\/p>\n\n\n\n<p>In Switzerland<\/p>\n\n\n\n<p>In Geneva<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"895\" height=\"431\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-32.png\" alt=\"\" class=\"wp-image-680\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-32.png 895w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-32-300x144.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-32-768x370.png 768w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"976\" height=\"447\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-33.png\" alt=\"\" class=\"wp-image-681\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-33.png 976w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-33-300x137.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-33-768x352.png 768w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"997\" height=\"464\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-34.png\" alt=\"\" class=\"wp-image-682\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-34.png 997w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-34-300x140.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-34-768x357.png 768w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"869\" height=\"409\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-35.png\" alt=\"\" class=\"wp-image-683\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-35.png 869w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-35-300x141.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-35-768x361.png 768w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"959\" height=\"423\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-36.png\" alt=\"\" class=\"wp-image-684\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-36.png 959w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-36-300x132.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-36-768x339.png 768w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"847\" height=\"369\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-37.png\" alt=\"\" class=\"wp-image-685\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-37.png 847w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-37-300x131.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-37-768x335.png 768w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<p>The jewel in chocolate \u2013 Cocoa business in Asia<\/p>\n\n\n\n<p>According to an article from Reuters, many markets in Asia are showing a grow appetite for chocolate-based products. This might mean for cocoa trading companies that Asia could be one of the current market to target and to supply. Indeed, Olam International, a leading food and agri-business supplier and coffee\/cocoa trader listed on the Singapore stock exchange, decided to boost its presence in this sector in Asia and planned to supply more cocoa thanks to an investment in the origination, processing and research of this commodity in Indonesia.&nbsp;<\/p>\n\n\n\n<p>The company acquired 85% share in the parents of Indonesia\u2019s largest cocoa processor (BT Cocoa) by making an investment of $90 million.&nbsp;<\/p>\n\n\n\n<p>The project is the following; making an international surplus of 100\u2019000 tonnes from the upcoming cocoa crop. We could imagine that traders would have to face to a decrease of the cocoa\u2019s price due to this surplus.&nbsp;<\/p>\n\n\n\n<p>In such a situation, it is highly recommended to be long physical and short future for cocoa.&nbsp;<\/p>\n\n\n\n<p>Besides cocoa, Olam International\u2019s CEO, Sunny Verghese, told that coffee\u2019s market could potentially face to a rally.&nbsp;<\/p>\n\n\n\n<p>As cited in the previous bulletin, Brazilian coffee producers expect to get a bumper harvest of Arabica and Robusta\u2019s coffee beans for 2019, that would normally decrease the price of coffee. However, Sunny Verghese added that this bumper harvest might be lower than expected because of possible adverse weather conditions in Brazil.&nbsp;<\/p>\n\n\n\n<p>This information might tell to coffee traders to be prepared of an increase of the coffee\u2019s price.&nbsp;<\/p>\n\n\n\n<p>The recommendation for coffee\u2019s traders would be to be short physical and long future for coffee.<\/p>\n\n\n\n<p>As a result, coffee and cocoa will probably show an interesting change in their prices that traders have to capture.&nbsp;<\/p>\n\n\n\n<p>This newspaper is interesting for students in commodity trading\u2019s major at the HEG or in commodity trading master at the University of Geneva, who are interested by coffee and cocoa trading and by emerging markets such as the Asian market. Indeed, companies based in Geneva such as Olam International will need dynamic and young graduated traders to meet the demand in these markets.&nbsp;<\/p>\n\n\n\n<p>Sucafina prize of excellence for the master\u2019s thesis in commodity trading<\/p>\n\n\n\n<p>The CEO of Sucafina, a multinational coffee merchant founded in 1977 and based in Geneva, has awarded the Sucafina prize of Excellence to a student at the Geneva School of Economics and Management (GSEM) for his Master Thesis in commodity Trading.&nbsp;<\/p>\n\n\n\n<p>This newspaper might be interesting for students in commodity trading who have to write their bachelor\/master thesis about a topic in Commodity Trading.&nbsp;<\/p>\n\n\n\n<p>Such an award demonstrates hard work and skills which might open doors for interesting opportunities in commodity trading companies.\u00a0<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"1024\" height=\"433\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-38-1024x433.png\" alt=\"\" class=\"wp-image-686\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-38-1024x433.png 1024w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-38-300x127.png 300w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-38-768x325.png 768w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<p><strong>Review of February market situation of Cocoa<\/strong><\/p>\n\n\n\n<p>The cocoa is a niche market having a total production of 4.65 mio kg per year which is quite small compared to coffee with a total production in 2017\/2018 of approximately 9600 mio kg per year. This means a production more than 2000 times bigger than cocoa.&nbsp;<\/p>\n\n\n\n<p>The organisation having the biggest influences over this market is ICCO, International Cocoa Organisation, which functions such as OPEC but for cocoa.&nbsp;<\/p>\n\n\n\n<p>There are 2 futures market, one situated in London (ICE Futures Europe), and one in dollars in New York (ICE Futures U.S.).&nbsp;<\/p>\n\n\n\n<p>Finally, for the spot price, ICCO provide also daily prices denominated in U.S. dollars.&nbsp;<\/p>\n\n\n\n<p>The chart below shows the development of the futures prices on the London and New York markets at the London closing time. Both prices are expressed in US dollars in order to compare them easily. The London market is pricing at par African origins, whereas New York prices at par Southeast Asian origins. Indeed, Cocoa need to grow hot and humid region that is why, we will find mainly production in Africa mainly dispatch between C\u00f4te d\u2019Ivoire and Ghana and in Asia, mainly in Indonesia.<\/p>\n\n\n\n<p>We can observe on firsts days of the chart, a quite strong difference of futures prices between the two markets. It can be explained by the implementation in May 2017 of changes in the grading rules for ICE Europe. That led to a substantial increase of prices due to higher norms for cocoa which impacted the African market.&nbsp;&nbsp;For instance, 2\u2019000 tonnes failed the submission for grading because of that rule. However, we can see a convergence from 5<sup>th<\/sup>February which were due to return to normal market configuration.<\/p>\n\n\n\n<p>By looking at the global trend in February, the market is in contango, the contract prices perked up on both the London and New York markets as seen.&nbsp;<\/p>\n\n\n\n<p>This upward trend can be explained by weather conditions adequate for the growth of cocoa in some West African cocoa growing regions as well as good expectations from market participants and forecasters.&nbsp;<\/p>\n\n\n\n<p>Subsequently, compared to prices at the start of the month, future prices rallied by 9% from US$2,083 to US$2,269 per tonne in London, and by 3% from US$2,178 to US$2,238 per tonne in New York by the end of February.<\/p>\n\n\n\n<p>However, at a certain stage, the supply exceeds the demand. The price stopped to increase and therefore, this bullish stance did not continue. From 20<sup>th<\/sup>February onwards, projections suggesting that the top cocoa supplier was racing toward another record level in cocoa production resulted in a downward turn in prices. Thereafter, the front-month contract prices plummeted by 2% from US$2,310 per tonne to US$2,269 per tonne in London, and by 3% from US$2,302 per tonne to US$2,238 per tonne in New York.<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"971\" height=\"1024\" src=\"https:\/\/commodity-trading.campus.local\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-39-971x1024.png\" alt=\"\" class=\"wp-image-687\" srcset=\"https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-39-971x1024.png 971w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-39-284x300.png 284w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-39-768x810.png 768w, https:\/\/campus.hesge.ch\/commodity-trading\/wp-content\/uploads\/2019\/03\/image-39.png 1203w\" sizes=\"(max-width: 767px) 89vw, (max-width: 1000px) 54vw, (max-width: 1071px) 543px, 580px\" \/><\/figure>\n\n\n\n<p><strong>Sources<\/strong><\/p>\n\n\n\n<p>REUTERS, 2019. \u201cSingapore\u2019s Olam says to expand \u201ccrown jewel\u201d cocoa business, Q4 profit drops\u201d.&nbsp;<em>Reuters<\/em>(online). February 28<sup>th<\/sup>, 2019. (Consulted on March 26<sup>th<\/sup>, 2019). Available at&nbsp;<a href=\"https:\/\/www.reuters.com\/article\/olam-results\/singapores-olam-says-to-expand-crown-jewel-cocoa-business-q4-profit-drops-idUSL3N20N2P1\">https:\/\/www.reuters.com\/article\/olam-results\/singapores-olam-says-to-expand-crown-jewel-cocoa-business-q4-profit-drops-idUSL3N20N2P1<\/a><\/p>\n\n\n\n<p>REUTERS, 2019. \u201cOlam takes control of Indonesia\u2019s top cocoa processor\u201d.&nbsp;<em>Reuters<\/em>(online). February 26<sup>th<\/sup>, 2019. (Consulted on March 26<sup>th<\/sup>, 2019). Available at&nbsp;<a href=\"https:\/\/www.reuters.com\/article\/yts-ma-olam-intl\/olam-takes-control-of-indonesias-top-cocoa-processor-idUSL5N20L4RC\">https:\/\/www.reuters.com\/article\/yts-ma-olam-intl\/olam-takes-control-of-indonesias-top-cocoa-processor-idUSL5N20L4RC<\/a><\/p>\n\n\n\n<p>Sucafina, 2018. \u201cSucafina prize of excellence for the master\u2019s thesis in commodity trading\u201d.&nbsp;<em>Sucafina<\/em>(online). November 30<sup>th<\/sup>, 2018. (Consulted on March 26<sup>th<\/sup>, 2019). Available at https:\/\/www.sucafina.com\/news\/news-updates\/sucafina-prize-of-excellence-masters-thesis-commodity-trading\/<\/p>\n\n\n\n<p>JOBS Salaire, 2019, (consulted on March 27th, 2019) Available at&nbsp;<a href=\"https:\/\/www.jobs.ch\/fr\/salaire\">https:\/\/www.jobs.ch\/fr\/salaire<\/a><\/p>\n\n\n\n<p>Glassdoor Salaire, 2019, (consulted on March 27th, 2019) Available at&nbsp;<a href=\"https:\/\/fr.glassdoor.ch\/Salaires\/coffee-trader-salaire-SRCH_KO0,13.htm\">https:\/\/fr.glassdoor.ch\/Salaires\/coffee-trader-salaire-SRCH_KO0,13.htm<\/a><\/p>\n\n\n\n<p>WhoMovesTheCoffeeMarkets?\u00a0MeetTheWorld\u2019sLargestGreenCoffeeTraders\u00a0(consulted on March 27th, 2019) Available at:<a href=\"https:\/\/commoditytrading.guru\/commodities\/who-moves-the-coffee-markets-meet-the-worlds-largest-green-coffee-traders\/\">https:\/\/commoditytrading.guru\/commodities\/who-moves-the-coffee-markets-meet-the-worlds-largest-green-coffee-traders\/<\/a><\/p>\n\n\n\n<p>OLAM website&nbsp;(consulted on March 27th, 2019) Available&nbsp;<a href=\"https:\/\/www.olamgroup.com\/news\/all-news.html\">https:\/\/www.olamgroup.com\/news\/all-news.html<\/a><\/p>\n\n\n\n<p>USDA Report, PDF&nbsp;(consulted on March 27th, 2019) Available at<\/p>\n\n\n\n<p>HR Maritime website, Why Geneva,&nbsp;(consulted on March 27th, 2019) Available at<a href=\"https:\/\/hr-maritime.com\/geneva\/why-geneva\/\">https:\/\/hr-maritime.com\/geneva\/why-geneva\/<\/a><\/p>\n\n\n\n<p>Google Maps, Website&nbsp;(consulted on March 27th, 2019) Available at<a href=\"https:\/\/www.google.com\/maps\">https:\/\/www.google.com\/maps<\/a><\/p>\n\n\n\n<p>Louis Dreyfuss website,&nbsp;(consulted on March 27th, 2019) Available at<\/p>\n\n\n\n<p>International Cocoa Organization (ICCO), (consulted on March 27th, 2019). Available at&nbsp;:&nbsp;<a href=\"https:\/\/www.icco.org\/statistics\/monthly-review-of-the-market.html\">https:\/\/www.icco.org\/statistics\/monthly-review-of-the-market.html<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Trade news Coffee and cocoa\u2019s trading as a whole From HR Maritime, the number of trading houses around the lake is high. Let us remember that the leman region is There are many commodity trading house of coffee and cocoa in Geneva. We will focus on some of them. The big players of coffee are &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/campus.hesge.ch\/commodity-trading\/bulletin-2-the-surplus-from-the-cocoa-crop\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Bulletin 2 \u2013 \u201cThe surplus from the cocoa crop\u201d&#8221;<\/span><\/a><\/p>\n","protected":false},"author":116,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/campus.hesge.ch\/commodity-trading\/wp-json\/wp\/v2\/posts\/662"}],"collection":[{"href":"https:\/\/campus.hesge.ch\/commodity-trading\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/campus.hesge.ch\/commodity-trading\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/campus.hesge.ch\/commodity-trading\/wp-json\/wp\/v2\/users\/116"}],"replies":[{"embeddable":true,"href":"https:\/\/campus.hesge.ch\/commodity-trading\/wp-json\/wp\/v2\/comments?post=662"}],"version-history":[{"count":2,"href":"https:\/\/campus.hesge.ch\/commodity-trading\/wp-json\/wp\/v2\/posts\/662\/revisions"}],"predecessor-version":[{"id":688,"href":"https:\/\/campus.hesge.ch\/commodity-trading\/wp-json\/wp\/v2\/posts\/662\/revisions\/688"}],"wp:attachment":[{"href":"https:\/\/campus.hesge.ch\/commodity-trading\/wp-json\/wp\/v2\/media?parent=662"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/campus.hesge.ch\/commodity-trading\/wp-json\/wp\/v2\/categories?post=662"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/campus.hesge.ch\/commodity-trading\/wp-json\/wp\/v2\/tags?post=662"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}