Minister accused of ‘Chocfinger’ lobbying

Mr Ward, regarded as one of the shrewdest cocoa traders, was nicknamed “Chocfinger” after a series of audacious trades betting on higher prices. He took delivery of 240,100 tonnes of cocoa beans – worth £650m – in July when prices were at a 33-year high. Armajaro was barred from trading in 13 districts in western Ghana after a journalist filmed one of its contractors agreeing to smuggle cocoa across the border to Ivory Coast where prices were higher. After the results of an inquiry by the Ghana cocoa board, the ban on Armajaro was lifted in September in all but one district. Bans on two local trading companies, which had been implicated by the same journalist, were also lifted.

In August 2002, Armajaro bought three quarters of the 204,380 tonnes of cocoa delivered through the Euronext Liffe exchange under futures contracts. The purchase amounted to more than 5 percent of global cocoa production and produced a £58 million gain. The price of cocoa soared to a 17-year high of £1554 a tonne and sparked fears of a massive jump in chocolate prices. Ward denied the company was manipulating the market in an effort to drive prices higher amidst the concerns of traders having difficulties fulfilling cocoa obligations. Source: Wikipedia

via FT.com / UK / Politics & policy – Minister accused of ‘Chocfinger’ lobbying.

Be first to comment

Leave a Reply