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									                           COPAL COCOA Info
                                 A Weekly Newsletter of Cocoa Producers' Alliance
                 Issue No. 442                                                             30th May – 3rd June 2011
In-House Cocoa Newsletter
 Cocoa Producers' Alliance




                                      UP-COMING EVENTS                                              IN THIS ISSUE
                                                                                                    INSIDE THIS ISSE:

                            Seminar of Cocoa Statistics for Nigeria, 2nd June 2011,          ICCO DAILY COCOA PRICES
                             Akure, Ondo State, Nigeria.
                                                                                              LONDON (LIFFE) FUTURES MARKET
                            SPS Capacity Building Workshop, 7th -10th June 2011,
                                                                                               UPDATE
                             Yaounde, Cameroon.
                            Seminar on Futures Markets, 13th – 17th June, 2011, London,      NEW YORK (ICE) FUTURES MARKET
                             United Kingdom.                                                   UPDATE
                                                                                              FROM THE NEWS MEDIA
                                                                                              TIT BITS




                                       Do your health a favour, drink Cocoa everyday
                                                 ‘It’s nature’s miracle food’
In the News (from Newspapers worldwide)
 Health and Nutrition                               Business & Economy
 Cocoa can boost your fibre intake                  ADM launches Extreme Dark Cocoa Powders
 Cocoa extracts may benefit cholesterol levels:     Ivorian cocoa arrivals seen at 1,128,000 T by
    Study                                               May 29
 Delicious Health - New Chocolate Tea from          Australian Mars Bars now Rainforest Alliance
    California Tea House                                certified
 High blood cholesterol? Drink cocoa                Cargill receives first North American Shipment
                                                        of UTZ CERTIFIED Chocolate Liquor
Production and Quality                               Cocoa tax encourages Industry: Association
 Ghana cocoa main crop tops 900,000 T: Cocobod      Cargill completes acquisition of German
 Heavy rain could hurt Ivory Coast cocoa quality       Chocolate Business
 Cameroon cocoa production hits new season          Cargill pushes growth in German cocoa market
    record                                           In search of the best cacao in Peru
 Cocoa Supplies to outpace demand by 187,000        Petra's Long-Term Prospects Looking Good
    Tons, ICCO Says
 Nigeria’s Cocoa Exports Climbed 47% Last Year,    Labour Issues
    Akingbola Says                                  

The Market                                          Environmental Issue
                                                   

Processing & Manufacturing                          Research & Development
                                                   

                                                    Promotion & Consumption
                                                    

                                                    Others
                                                    


ICCO Daily Cocoa Prices
                     ICCO Daily Price   ICCO Daily price     London futures     New York futures
                       (SDR/tonne)        ($US/tonne)           (£/tonne)         ($US/tonne)

    th
30 May                       0                 0                    0                   0


    st
31 May                    1897.6            3037.63             1863.33              3019.67

 st
1 June                   1868.52            2989.21             1838.67              2972.67

 nd
2     June               1832.73            2939.26             1819.33              2916.00

 rd
3 June                   1823.12            2924.56             1801.67              2902.67


Average                  1484.00            2378.00             1465.00              2362.00




              COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,               2
                  P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                         Email: econs@copal-cpa.org Website: www.copal-cpa.org
                 International Financial Futures and Options Exchange (LIFFE)
                         London Futures Market – Summary of Trading Activities
                                             (£ per tone)


Monday                30th May                 2011
Month                      Opening Trans           Settle       Change     Daily High   Daily Low   Volume
     Jul 2011

    Sep 2011
    Dec 2011
    Mar 2012
    May 2012
        Jul-12
        Sep-12
    Dec 2012
    Mar 2013
    May 2013
Average/Totals                                    #DIV/0!                                             0



Tuesday               31st May                 2011
Month                      Opening Trans           Settle       Change     Daily High   Daily Low   Volume
     Jul 2011                  1816                1840           27         1846        1810S      7,582
    Sep 2011                   1836                1861           25         1865S       1834S      3,515
    Dec 2011                   1874                1889           25         1892S       1865S      1,959
    Mar 2012                   1892                1913           22         1915        1891S      1,082
    May 2012                   1908                1920           16         1923        1904S       95
        Jul-12                 1917                1927           15         1926         1917        6
        Sep-12                 1919                1930           16         1919         1919       13
    Dec 2012                   1935                1946           17         1935         1935       12
    Mar 2013                   1936                1949           16         1947         1936       116
    May 2013                                       1951           16                                  0
Average/Totals                                     1913                                             14,380



Wednesday             1st June                 2011
Month                      Opening Trans           Settle       Change        High        Low       Volume
     Jul 2011                  1837                1814          -26         1844         1809      6,566
    Sep 2011                   1857                1837          -24         1864S       1833S      3,676
    Dec 2011                   1889                1865          -24         1890        1861S      1,182
    Mar 2012                   1911                1888          -25         1913S        1885       777
    May 2012                   1919                1897          -23         1919S        1900       39
        Jul-12                 1923                1902          -25         1923S       1923S        5
        Sep-12                 1920                1905          -25         1920S       1920S        5
    Dec 2012                   1947                1919          -27         1947         1947      1,000
    Mar 2013                                       1922          -27                                  0
    May 2013                                       1924          -27                                  0
Average/Totals                                     1887                                             13,250




                 COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,               3
                     P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                            Email: econs@copal-cpa.org Website: www.copal-cpa.org
Thursday               2nd June                2011
Month                      Opening Trans           Settle       Change        High        Low       Volume
     Jul 2011                  1814                1796          -18         1824         1795      4,112
    Sep 2011                   1837                1817          -20         1844S        1815      2,033
    Dec 2011                   1863                1845          -20         1867S       1843S       717
    Mar 2012                   1890                1868          -20         1890         1865       830
    May 2012                   1893                1878          -19         1896S       1876S       147
        Jul-12                 1890                1885          -17         1890        1885S        52
        Sep-12                                     1890          -15                                  0
    Dec 2012                                       1900          -19                                  0
    Mar 2013                                       1903          -19                                  0
    May 2013                                       1905          -19                                  0
Average/Totals                                     1869                                              7,891



Friday                 3rd June                2011
Month                      Opening Trans           Settle       Change        High        Low       Volume
     Jul 2011                  1796                1779          -17         1797         1771       5,288
    Sep 2011                   1812                1800          -17         1815         1790       5,743
    Dec 2011                   1841                1826          -19         1842S       1819S       1,825
    Mar 2012                   1863                1848          -20         1863S        1840       3,027
    May 2012                   1863                1861          -17         1878S       1853S       109
        Jul-12                 1875                1867          -18         1875         1865        45
        Sep-12                 1875                1873          -17         1875         1875        58
    Dec 2012                   1900                1884          -16         1900         1900        28
    Mar 2013                   1885                1882          -21         1895        1883S        89
    May 2013                                       1884          -21                                  0
Average/Totals                                     1850                                             16,212



Average for the week                               1850                                             10347
                                                                                                    51,733




                 COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                4
                     P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                            Email: econs@copal-cpa.org Website: www.copal-cpa.org
                                      New York Board of Trade
                       (New York Futures Market – Summary of Trading Activities)
                                           (US$ per tone)



Monday                30th May                2011
Month                          Open              Price       Change        High        Low          Volume
     Jul 2011
    Sep 2011
    Dec 2011
    Mar 2012
    May 2012
     Jul 2012
    Sep 2012
    Dec 2012
    Mar 2013
Average/Totals                                  #DIV/0!                                               0



Tuesday               31st May                2011
Month                          Open              Price       Change        High        Low          Volume
     Jul 2011                  2975              2999          30         3020         2966         10,823
    Sep 2011                   2985              3013          32         3031         2980         5,436
    Dec 2011                   3013              3040          33         3052         3013          708
    Mar 2012                   3073              3101          34         3110         3069          376
    May 2012                   3092              3099          33         3092         3092          140
     Jul 2012                  3090              3094          33         3090         3090          182
    Sep 2012                   3076              3096          40         3088         3076          127
    Dec 2012                   3095              3115          47         3095         3095          61
    Mar 2013                     0               3155          72           0            0            1
Average/Totals                                    3079                                              17854



Wednesday             1st June                2011
Month                          Open              Price       Change        High        Low          Volume
     Jul 2011                  2999              2953          -46        3007         2941         12,827
    Sep 2011                   3015              2968          -45        3020         2957         7,861
    Dec 2011                   3055              3000          -40        3055         2994          963
    Mar 2012                   3096              3058          -43        3097         3052         1,266
    May 2012                   3090              3056          -43        3094         3058          586
     Jul 2012                  3081              3052          -42        3081         3051          293
    Sep 2012                   3081              3049          -47        3081         3045          720
    Dec 2012                   3046              3048          -67        3046         3046          91
    Mar 2013                     0               3063          -92          0            0            3
    May 2013                     0               3083          0            0            0            0
Average/Totals                                    3033                                              24610




                 COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                  5
                     P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                            Email: econs@copal-cpa.org Website: www.copal-cpa.org
Thursday               2nd June               2011
Month                          Open              Price       Change        High        Low          Volume
     Jul 2011                  2953              2904          -49        2959         2885         13,875
    Sep 2011                   2957              2919          -49        2975         2899         9,988
    Dec 2011                   2994              2951          -49        3000         2932         1,272
    Mar 2012                   3051              3010          -48        3051         2989          707
    May 2012                   3050              3009          -47        3053         2991          259
     Jul 2012                  3042              3005          -47        3042         2993          26
    Sep 2012                   2989              3000          -49        3000         2989          101
    Dec 2012                   3029              2997          -51        3029         2982          92
    Mar 2013                   3043              3012          -51        3043         3043         1,004
    May 2013                     0               3032          -51          0            0            0
Average/Totals                                    2984                                              27324



    Friday             3rd June                 2011
        Month                  Open              Price       Change        High        Low          Volume
     Jul 2011                  2900              2878          -26        2905         2851         15,795
    Sep 2011                   2912              2894          -25        2920         2868         12,173
    Dec 2011                   2936              2927          -24        2950         2900         1,650
    Mar 2012                   3010              2982          -28        3010         2958          368
    May 2012                   3000              2978          -31        3000         2960          107
     Jul 2012                  2996              2977          -28        2996         2952          56
    Sep 2012                   2972              2974          -26        2972         2972          17
    Dec 2012                   2950              2974          -23        2950         2950          116
    Mar 2013                     0               2991          -21          0            0           112
    May 2013                     0               3011          -21          0            0            0
 Average/Totals                                   2959                                              30394



Average for the week                             2959                                               5526
                                                                                                    5526




                 COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                  6
                     P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                            Email: econs@copal-cpa.org Website: www.copal-cpa.org
                                                 News
                                                 NEWS

 Health and Nutrit
Health and Nutrition

Cocoa can boost your fibre intake
Irish Independent
May 30 2011
We associate fibre with chomping vegetables but if you make your own home-made smoothies or buy one to
drink at home there is a pleasant way to bulk it up.

Add a tablespoon of unsweetened cocoa powder -- it has 2g of fibre plus it contains less saturated fat than dark
chocolate bars and none of the added sugars.

Cocoa extracts may benefit cholesterol levels: Study
ConfectioneryNews.com
By Stephen Daniells,
31-May-2011

                              A combination of cocoa and skimmed milk may beneficially affect cholesterol
                              levels in the blood, according to new data from Spain.

                              Daily consumption of 40 grams of cocoa powder and 500 mL of skimmed milk
                              for four weeks was associated with increases in HDL (good) cholesterol levels,
                              and reductions in levels of oxidized LDL (bad) cholesterol, scientists from the
                              University of Barcelona report. “The results of this study provide further evidence
                              for recommending regular consumption of cocoa as a useful tool against risk
                              factors for [coronary heart disease],” they wrote in Nutrition, Metabolism and
                              Cardiovascular Diseases.

Choc-full of goodness?

The health benefits of polyphenols from cocoa have been gathering increasing column inches in the national
media. To date studies have reported potential benefits for cardiovascular health, skin health, and even brain
health.

The majority of science into the potential benefits of cocoa have revolved around cardiovascular benefits of the
flavanols (also known as flavan-3-ols or catechins), and particularly the monomeric flavanol (-)epicatechin.

Most of the globe’s confectionery giants have spent R&D dollars on exploring the potential health benefits of
cocoa, including Mars, Nestlé, and Hershey.

The new study used cocoa from Spanish food company Nutrexpa.

Study details

The Barcelona-based scientists recruited 42 volunteers with a mean age of 70 to participate in their randomized,
crossover feeding trial. All the participants received 500 mL of skimmed milk/day with or without 40g of cocoa
powder for 4 weeks. The 40 grams of cocoa powder provided 495.2 milligrams of polyphenols and 425.7
milligrams of proanthocyanidins.

At the end of the study the researchers found that milk plus cocoa was associated with a 5 percent increase in
HDL cholesterol levels, compared to only milk.




                COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                          7
                    P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                           Email: econs@copal-cpa.org Website: www.copal-cpa.org
In addition, cocoa plus milk was associated with a 14 percent reduction in oxidized LDL cholesterol levels,
compared to milk only.
How?

Commenting on the potential mechanism of action, the researchers note that the polyphenols in cocoa may bind
to LDL particles and therefore prevent them from being oxidized.

Concerning the increase in HDL, they note that the mechanism remains to be elucidated, but it may be related to
polyphenols boosting the production of a molecule called apolipoprotein (Apo) A1, which is the main protein
component of HDL.

Delicious Health - New Chocolate Tea from California Tea House
DigitalJournal.com (press release)
May 31, 2011
California Tea House recently announced the creation of something new—a chocolate tea. In the world of
premium tea, many companies stand to sell the same—oolong, green tea, black tea, perhaps pu’erh and
jasmine—with little distinguishing the companies, but a brand. Until now, a chocolate tea is daringly different.

Justly named Chocolate Chai, it’s a spicy loose leaf tea that begs for more than just one pour. Its ingredient
profile underscores this; USDA organic cocoa nibs and white chocolate pieces highlight the tea’s rich,
unexpected taste. Cardamom blooms, orange peels, chicory root pieces and fresh-cut ginger round out the
smoothness of the brew. Together, creating an innovating twist on two classics, tea and chocolate.

A dessert of its own, the tea has a full-bodied flavor without a need for a sweetener. As one satisfied customer
wrote, “I love this stuff! It’s the best tea I’ve ever had. Tastes like thin liquid chocolate.”

Yet for the diet-conscious, Chocolate Chai remains virtuously guilt-free and laden only with health benefits,
unlike a cup of hot chocolate. And that’s exactly how Ani Bailey, co-founder of California Tea House and
creator of the tea, felt, and wanted to share.

“The idea for Chocolate Chai came about when I was having a piece of dark chocolate with a cup of tea one
evening. As I tried the chocolate with the tea, the combination was so fulfilling that it dawned on me: why not
make a chocolate tea? From there we hit the drawing board...,” says Ms. Bailey.

Like any traditional cup of chai from India, the blend also upholds the much sought after benefits of Cardamom;
an equally potent ingredient, which provides a strong aroma and flavor. Cardamom primarily acts as a digestive,
but is also known to help heal throat health, congestion, Tuberculosis and even treat teeth and gum infections.

Minimally processed chocolate, such as the cocoa nibs found in the tea, have been shown to help maintain
cardiovascular health—reduce blood pressure, enhance blood flow and reach healthy cholesterol levels.
Moreover, according to Christine Dobmeier, a nutritionist from the University of Maryland Medical Center, just
two tablespoons of cocoa has more antioxidants than four cups of green tea. The effect is a health food that
challenges many notions of decadence.

According to Health magazine, “Tea drinkers can be as passionate and picky about their drink of choice as the
most snobby oenophile is about her wine.” Simply stated, there are more and more choices; California Tea
House has accented this yet again.

At last, a new sidekick to chocolate that’s even healthier than coffee, a delight for the tea connoisseur—
California Tea House’s Chocolate Chai.

California Tea House is a family owned and operated gourmet, loose-leaf tea store carrying the finest estate
grown teas and custom tea blends all with free shipping. Find your new favorite tea at
http://www.CaliforniaTeaHouse.com.

High blood cholesterol? Drink cocoa
Nigerian Tribune
By Sade Oguntola



               COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                          8
                   P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                          Email: econs@copal-cpa.org Website: www.copal-cpa.org
02 June 2011

                                             [Cocoa drink is heart-friendly]

                                             THERE are few things patients with diabetes, high blood
                                             cholesterol and high blood pressure might actually be happy to see
                                             their doctors’ prescription - cocoa.

                                              Scientists found that a chemical found in cocoa may help improve
                                              the working of blood vessels in diabetes and hypertensive patients
                                              as well as affect cholesterol levels in their blood.
                                              A new evidence supporting recommending regular consumption of
cocoa as a useful tool against risk factors for coronary heart disease from Spain indicated that a combination of
cocoa and skimmed milk may beneficially affect cholesterol levels in the blood, especially in subjects at high-
risk of cardiovascular disease.

Cocoa is the non-fat component of cocoa liquor (finely ground cocoa beans) which is used in chocolate making
or as cocoa powder (commonly 12 per cent fat) for cooking and drinks.

Cocoa liquor contains approximately 55 per cent cocoa butter and together this comprises cocoa solids, often
referred to on chocolate packaging. However, it is different from chocolate, which is a combination of cocoa,
cocoa butter, sugar, etc. made into a solid food product.

In the study published in the journal, Nutrition, Metabolism and Cardiovascular Diseases, the researchers found
that daily consumption of 40 grammes of cocoa powder and 500 mL of skimmed milk for four weeks was
associated with increases in HDL (good) cholesterol levels, and reductions in levels of oxidized LDL (bad)
cholesterol.

Interestingly, the researchers, who recruited 42 volunteers to participate in the randomised, crossover feeding
trial that lasted for four weeks, found that milk plus cocoa was associated with a 5 per cent increase in HDL
cholesterol levels over a four week period, compared to only milk. In addition, cocoa plus milk was associated
with a 14 per cent reduction in oxidized LDL cholesterol levels, compared to milk only.

Although, they indicated that the mechanism of how cocoa extract increase the blood HDL level was yet to be
elucidated, they noted that it may be related to its polyphenols content boosting the production of a molecule
called apolipoprotein (Apo) A1, which is the main protein component of HDL.

Cholesterol, certainly cannot dissolve in the blood. It has to be transported to and from the cells by carriers
called lipoproteins. When too much LDL (bad) cholesterol circulates in the blood, it can slowly build up in the
inner walls of the arteries that feed the heart and brain.

Together with other substances, it can form plaque, a thick, hard deposit that can narrow the arteries and make
them less flexible. This condition is known as atherosclerosis. If a clot forms and blocks a narrowed artery, heart
attack or stroke can result. However, high levels of HDL seem to protect against heart attack.

Medical experts think that HDL tends to carry cholesterol away from the arteries and back to the liver, where it
is passed from the body.

Meanwhile, experts said in study that further deepens the understanding of the cardiovascular benefits of cocoa,
that the potential of polyphenol compounds in cocoa to reduce blood pressure is related to genotype.

In addition, they wrote in a 2007 edition of Archives of Internal Medicine,: “The magnitude of the hypotensive
effects of cocoa is clinically noteworthy; it is in the range that is usually achieved with monotherapy of beta-
blockers or antiotensin-converting enzyme(ACE) inhibitors.”

Beta-blockers or ACE inhibitors are prescribed as treatments for high blood pressure and have been shown to
improve survival when administered following a heart attack.




                COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                            9
                    P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                           Email: econs@copal-cpa.org Website: www.copal-cpa.org
This was further corroborated by another 2009 study published in the Journal of Hypertension that said that
regular consumption of cocoa flavanols may decrease blood pressure in people with mild hypertension, but only
at high doses.

However, the heart benefits of cocoa extends also to athletes. Researchers indicated that consumption of cocoa
flavanols help to boost blood flow to the muscles and ease the demands on the heart during exercising as well as
improve eye and brain function.

Writing in the 2010 journal of Physiology & Behaviour, the authors said their findings show that performance
on vision tests in healthy young adults and some aspects of cognitive performance can be improved by the acute
intake of cocoa flavanols (CF).

The researchers’ theory was that the consumption of cocoa may have improved eye and brain functions by
increasing blood flow to the brain.

In addition, scientists reported that eating flavanol-rich chocolate may help protect the skin from the damaging
effects of UV light in the Journal of Cosmetic Dermatology.


  Production & Quality

Ghana cocoa main crop tops 900,000 T: Cocobod
Reuters Africa
By Kwasi Kpodo
May 30, 2011
ACCRA (Reuters) - The provisional tally for Ghana's 2010-11 cocoa main crop purchases reached a record
904,000 tonnes, some 55 percent above last year's levels, the head of Ghana's Cocoa Board (Cocobod) told
Reuters on Sunday.

Chief Executive Tony Fofie, who dismissed reports the tally was padded by large amounts of beans being
smuggled into Ghana from Ivory Coast, said the light crop would produce "at least 80,000 tonnes".

Cocobod has twice revised upwards its target for cocoa purchases this year and the world's No. 2 grower is set
to smash the previous full-season record of 740,000 tonnes seen in 2005-2006. "The purchases have hit 904,000
tonnes -- it's a record achievement and it shows that the government's renewed strategy to raise production is
working," Fofie said of the main crop, which began in October and ran through until May 19.

Fofie said the light crop would start on June 10, a week later than expected, but it would hit 80,000 tonnes: "It
could be more because we still have lots of cocoa pods on the farms."

Some analysts say the political crisis in neighbouring Ivory Coast led to more beans being smuggled into Ghana
as the industry in Ivory Coast was paralysed for months by ports shutting down and sanctions on the industry
regulators.

But Ghana has repeatedly rejected this and Fofie called such claims "imaginations".

"We have doubled our fertiliser use, we have significantly scaled up disease and pests control -- generally, we
are doing a lot more now to sustain high production and also ensure that our farmers are well motivated and
rewarded," Fofie said.

"In addition, we've had very good rains that bolstered pod development and maturity this year, more than we've
seen recently," he said. Ghana has set itself the target of purchasing at least 1 million tonnes of cocoa a year by
the 2012-13 season.

Heavy rain could hurt Ivory Coast cocoa quality
Reuters Africa
By Loucoumane Coulibaly
Jun 1, 2011



                COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                            10
                    P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                           Email: econs@copal-cpa.org Website: www.copal-cpa.org
                                  ABIDJAN (Reuters) - Good rains fell in Ivory Coast's cocoa regions last week
                                  boosting the mid-crop crop but the weather could also weigh on the quality of
                                  beans in other parts of the world's top grower, farmers and analysts said on
                                  Tuesday.

                                  Heavy rains are expected to continue in the first weeks of June, starting around
                                  the coastal region of the country and moving inward towards the centre and
                                  north.

In the southeastern region of Aboisso, an analyst reported 122.7 millimetres of rains in the spell. Farmers said
the long rain spells not only prevented them from going into their farms to harvest, but also from properly
sunning their beans. "It rained a lot. Because of the rain, I could only go to my plantation once last week. We
had many difficulties trying to sun our beans," said Jean Tano, a farmer in the region.

In contrast, just about 62 millimetres of rainfall was recorded in the eastern region of Abengourou, near the
border with Ghana.

Farmers there said they were happy with the light downpour mixed with sunny spells which enabled them to
transport their beans from the farms and were able to sun them. "It rains and there is a bit of sunshine. The mid-
crop is going on well," said Joseph Amani who farms in Abengourou.

In the coastal region of Sassandra, analysts reported 41 millimetres of rains but farmers said cloudy weather and
the humidity were weighing on the quality of beans. "We have problems properly fermenting the beans," said
Edmond Ezan a farmer in the region. "I do not think beans harvested within the next ten days will be of good
quality."

In the western region of Soubre, the heart of Ivory Coast's cocoa belt, farmers reported three abundant rain
spells which could strengthen the mid crop. Similar growing conditions were reported in centre-western region
of Daloa. "The soil is absorbing most of the rainwater. There is no concern at the moment," said Attoungbre
Kouame, a Daloa-based farmer.

Abundant rains and good growing conditions were also reported in the central region of Yamoussoukro, in
western regions of Gagnoa and Meagui and in southern regions of Divo and Agboville.

Cameroon cocoa production hits new season record
Reuters Africa
Jun 2, 2011
YAOUNDE (Reuters) - Cocoa production in Cameroon, the world's no.5 grower, has hit a new record this
season at 219,295 tonnes by the end of April, already over 5 percent higher than the previous record in the 2008-
2009 season.

Data from the National Cocoa and Coffee Board showed on Thursday the record production was reached, three
months before the end cocoa season which runs from August to July.

Cocoa Supplies to outpace demand by 187,000 Tons, ICCO Says
Bloomberg
By Isis Almeida
Jun 2, 2011
Cocoa supplies will exceed demand by 187,000 metric tons in the 2010-11 season that started in October, up
from a previous estimate of 119,000 tons, according to the International Cocoa Organization.

The production estimate was increased to 4.025 million tons from 3.938 million tons, the London-based ICCO
said in a statement today. World output will rise 11 percent from the previous year, led by an increase in
production from Ghana, the world’s second-largest grower, the organization said in a separate report e-mailed
today.




               COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                            11
                   P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                          Email: econs@copal-cpa.org Website: www.copal-cpa.org
Grindings were increased to 3.798 million tons from 3.78 million tons, the highest on record, it said. Cocoa
processing activity is expected to increase by almost 9 percent in Asia and Oceania and 3 percent in Europe, the
ICCO said.

Ghana’s crop will be a record 960,000 tons, boosted by “conducive weather conditions, new farms coming into
production, improved farm husbandry, increased fertilizer application and boosted farmer incentives,” the ICCO
said.

Output in Ivory Coast, the world’s largest producer, will rise to 1.3 million tons, up from 1.242 million tons in
the previous season, following the country’s political crisis earlier this year.

The size of the country’s mid-crop, the smaller of two annual harvests, may be reduced by security and
logistical concerns, the ICCO said. The mid-crop was expected to be 300,000 tons, according to the report.

Nigeria’s Cocoa Exports Climbed 47% Last Year, Akingbola Says
Bloomberg
By Vincent Nwanma
Jun 2, 2011
Exports of cocoa products from Nigeria, the fourth-largest producer of the beans, rose 47 percent to $822.8
million in 2010, according to Olakunle Akingbola, business development manager of Cobalt International
Services, an inspection company.

This represented about 35 percent of $2.32 billion earnings from non-oil exports last year for Nigeria, Africa’s
leading oil producer, Akingbola said by phone today from Akure in western Nigeria. “We expect to raise
earnings from cocoa to 40 percent of non-oil revenue this year,” said Akingbola, whose company inspects all
Nigerian non-oil products at ports before export.

Cocoa is Nigeria’s second-biggest foreign-exchange earner after crude oil, according to figures published by the
Nigerian government. The Ivory Coast, Ghana and Indonesia produce more cocoa, according to the International
Cocoa Organization.


  The Market



  Processing & Manufacturing




   Business & Economy

ADM launches Extreme Dark Cocoa Powders
Food Ingredients First (press release)
27 May 2011
ADM Cocoa has expanded its line of deZaan cocoa powders with the darkest dry powder available on the
market today. Delivering the indulgent taste consumers demand, the new deZaan D11EB is the deepest shade in
the brand’s rich palette of dark cocoa powder options. With a black visual appearance, it can be used to provide
intense colour and flavour to a diverse range of applications including dairy desserts, ice creams, biscuits, cakes,
compound coatings and dry mixes, as well as fillings and truffles.

With its unique combination of extreme cocoa colour and delicious taste, deZaan D11EB opens up new
possibilities for manufacturers keen to create signature products. Importantly, this intensely dark cocoa powder
comes with a clean cocoa taste which, up until now, has been difficult to achieve. The deep colour and flavour
of deZaan D11EB provide manufacturers with the benefit of reduced cost in use, as a minimal amount of extra
dark powder can make a significant difference in the colour of the end product.




                COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                             12
                    P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                           Email: econs@copal-cpa.org Website: www.copal-cpa.org
Marc Degen, sales director cocoa powder, ADM Cocoa comments, “Consumers eat with their eyes as well as
their taste buds, so visual appeal is vital – particularly when it comes to creating indulgent, quality chocolate
products. With deZaan D11EB, we are giving our customers the opportunity to offer a new level of intensely
dark chocolate colour which, contrary to other products on the market today, will still deliver the great taste
consumers expect.

“We are particularly proud of this latest global launch, which marks the 100 year anniversary of deZaan as the
leading brand for cocoa and chocolate products, including, more recently, fine chocolate from Belgium. By
constantly pushing the boundaries, listening to our customers and leveraging our technical expertise, we aim to
continue to deliver the widest choice of innovative cocoa and chocolate solutions to our customers around the
world.”

Ivorian cocoa arrivals seen at 1,128,000 T by May 29
Reuters Africa
May 30, 2011 T

                                      Workers stack sacks of cocoa at a Barry Callebaut cocoa factory in San
                                      Pedro, southwestern Ivory Coast January 27, 2010.

                                      ABIDJAN (Reuters) - Cocoa arrivals at ports in top grower Ivory Coast
                                      reached around 1,128,000 tonnes by May 29, exporters estimated on
                                      Monday, compared with 986,357 tonnes in the same period last season.

                                     Exporters estimated around 25,000 tonnes of beans were delivered to the
                                     West African state's two ports between May 23 to May 29, up from
20,163 tonnes in the same week a year ago.

Australian Mars Bars now Rainforest Alliance certified
International Business Times
May 30, 2011
Mars Chocolate Australia has announced that it will source enough Rainforest Alliance Certified cocoa to cover
the production of its iconic Mars Bar, which will bear the Rainforest Alliance treefrog logo.

The move follows Cadbury's switch last year, when the company began purchasing enough Fairtrade cocoa to
cover the production of its Dairy Milk blocks.

Mars Chocolate Australia said that chocolate lovers want to know that their special treat not only tastes
delicious, but has been produced in a sustainable and ethical way.

"MARS Bars have been an iconic product loved by Australians for 30 years," said Michael Ryan, General
Manager of Mars Chocolate Australia. "We are thrilled that we can continue to offer the same quality and taste,
with the added assurance that Mars Chocolate Australia has sourced cocoa beans from Rainforest Alliance
Certified farms to meet our needs."

"The Rainforest Alliance Certified seal on MARS Bars demonstrates Mars Chocolate Australia's commitment to
sourcing sustainably produced cocoa, supporting cocoa farming communities in West Africa and globally."

"Nearly all cocoa is grown on small, family farms that are vulnerable to disease, inclement weather and price
fluctuations," said Anita Neville of Rainforest Alliance Australia.

The certified cocoa sourced for Mars Bars will come from the Ivory Coast in West Africa.

"The amount of cocoa beans used for Mars Chocolate Australia will require the annual harvest of several
thousand farmers.

This is a real commitment to sustainable farming that is already making a difference to cocoa growing
communities."




               COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                           13
                   P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                          Email: econs@copal-cpa.org Website: www.copal-cpa.org
As with Cadbury's move, the certified cocoa will be traced and volume-matched to the amount of cocoa used to
produce Mars Bars at the company's Ballarat factory, rather than the product itself being wholly produced from
sustainable cocoa.

In actual fact, all of Mars' chocolate products will contain a proportion of Rainforest Alliance cocoa. Globally,
Mars Chocolate Australia said it has made a commitment to have all of the cocoa in its products certified as
being produced in a sustainable manner by 2020.

In Australia, Mars Chocolate Australia hopes to have its full range of products sourced from certified farms well
in advance of its 2020 global commitment.

The Rainforest Alliance works with farmers to improve and change how they operate so that the environment
and wildlife are protected.

It also makes sure farm workers are paid a good wage, work in safe conditions, have access to good housing,
and their children have access to education and healthcare.

Cargill receives first North American Shipment of UTZ CERTIFIED Chocolate Liquor
PR Newswire (press release)
SOURCE Cargill
May 31, 2011
LITITZ, Pa., /PRNewswire/ -- The commitment of Cargill's cocoa and chocolate business on the journey toward
a sustainable cocoa supply chain has reached another milestone with the delivery of the first UTZ
CERTIFIED/Good Inside chocolate liquor to North America.

The cocoa comes from farmers in Cote d'Ivoire that have participated in Cargill's Farmer Field School programs
and reached UTZ certification after independent auditing. During the 10-month Farmer Field School training
program, these farmers are trained in safety and good agricultural practices, focusing on farming techniques and
post-harvest activities such as pruning, plantation renewal and cocoa fermentation methods. Cargill's farmer
training program has resulted in farmers benefitting from a 30-percent increase on average in their incomes from
higher yields, as well as from an improvement in the quality of their crop. In addition, the program also stresses
broader social aspects, such as the importance of ensuring childhood education and HIV awareness.

The UTZ CERTIFIED/Good Inside cocoa program ― co-founded by Cargill, Dutch development organization
Solidaridad and a multi-stakeholder group from the cocoa sector ― introduced independent certification to
improve agricultural, environmental and social practices in cocoa production in 2007. The support for small-
scale farmers improves farming practices, thereby producing a higher quality crop with increased productivity.

"We believe training farmers to increase yields, improve quality and adopt more sustainable practices can
directly contribute to increased earnings for cocoa farmers," said Don Pearson, president of Cargill Cocoa &
Chocolate North America. "While increases for each farmer may vary depending on the market price, quality
and yields, farmers who adopt better farming practices are benefitting from higher incomes, as well as
improving their long-term success."

Cargill's cocoa and chocolate business has long been committed to developing a sustainable cocoa supply chain
and took a vital step toward a solution when it became a founding partner of the UTZ CERTIFIED/Good Inside
cocoa program. Offering sustainably-sourced UTZ CERTIFIED/Good Inside cocoa and chocolate products
provides a better future for cocoa farmers and enables customers to join in the journey toward sustainability,
resulting in excellent products that consumers can enjoy and feel good about.

About UTZ CERTIFIED

UTZ CERTIFIED/Good Inside is a market-oriented sustainability program for cocoa, tea and the world's largest
supplier of sustainable coffee. As architects of sustainable supply chains, UTZ CERTIFIED ensures a balanced
standard regarding People, Planet and Profit. Unique to the UTZ CERTIFIED program is the focus on
entrepreneurship of the farmer through cost efficient environmentally and socially responsible farming practices.
Goals of the UTZ CERTIFIED program include; increased farmers' professionalism whereby sustainable
agricultural supply chains are achieved; the food industry taking responsibility by demanding and sourcing



               COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                            14
                   P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                          Email: econs@copal-cpa.org Website: www.copal-cpa.org
sustainably grown products; and consumers trusting favorite brands confident they were produced to meet social
and environmental responsibility standards. For more information, visit www.goodinside.org.

About Cargill Cocoa & Chocolate:

Cargill Cocoa & Chocolate offers the food industry a wide range of both standard and customized cocoa and
chocolate ingredients to be used in delicious bakery, confectionery, and dairy applications all over the world.
Our product range includes high quality Gerkens® cocoa powders, chocolate including Wilbur®, Peter's® and
Veliche®, coatings, fillings, cocoa liquors and cocoa butters. With years of experience in technical food
expertise Cargill supports its customers in new recipes and new product development.

Our facilities in Belgium, Brazil, Canada, Cote d'Ivoire, France, Germany, Ghana, the Netherlands, UK and the
USA are fully dedicated to produce in accordance with the highest food safety standards.

To secure a good quality and sustainable supply of cocoa beans we have our own cocoa bean sourcing
operations for buying, handling and/or exporting of cocoa beans in Brazil, Cameroon, Cote d'Ivoire, Indonesia
and Vietnam. Presence in all the leading producing countries allows Cargill to oversee the supply chain from
beans at origin to cocoa and chocolate products on our customers' doorstep. In addition, extensive market
research and analysis proves to be a source of valuable information to our customers.

About Cargill

Cargill is an international producer and marketer of food, agricultural, financial and industrial products and
services. Founded in 1865, the privately held company employs 131,000 people in 66 countries. Cargill helps
customers succeed through collaboration and innovation, and is committed to applying its global knowledge
and experience to help meet economic, environmental and social challenges wherever it does business. For
more information, visit www.cargill.com.

Cocoa tax encourages Industry: Association
Tempo Interaktif
31 May, 2011
TEMPO Interactive, Jakarta:Indonesian Cocoa Industry Association chairman Piter Jasman, said yesterday that
a cocoa tax would encourage the growth of the downstream cocoa industry.

BT Cocoa’s president commissary said that before there was the cocoa tax in 2009, the production capacity of
the cocoa industry was 120,000 tons per year. The number rose to 150,000 tons last year when the tax was
imposed. “This year, it could reach 280,000 tons per year. Next year, we are optimistic it will reach 400,000
tons per year,” he said.

The industry’s growth was the result of a cocoa tax that assured raw material supplies for the local industry.
Before the tax was applied, the composition of exported cocoa and the cocoa absorbed by the industry was
70:30. “After the tax was applied, the composition was 50:50,” said Piter. He said the industry’s absorption in
the country could reach 60 percent by next year.

The downstream industry, or cocoa processing, is also predicted to improve along with the increasing price of
oil.

BT Cocoa has doubled its production to 70,000 tons per year. Before the tax the company’s production was only
35,000 tons per year.

Agriculture Deputy Minister Bayu Krisnamurthi said the effectiveness of the cocoa tax could be seen from
Nestlé’s expansion. The company, through Milo Indonesia, plans to make Indonesia the basis for its cocoa
processing industry to meet market demand for Milo in Southeast Asia.

Indonesian Cocoa Industry Association chairman Zulhefi Sikumbang, said the cocoa tax did not encourage
cocoa seed businessmen to shift their production. Cocoa seed exports declined by 25 – 30 percent as a result of
changes in the harvest season last year.




                COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                        15
                    P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                           Email: econs@copal-cpa.org Website: www.copal-cpa.org
Cargill completes acquisition of German Chocolate Business
PR Newswire UK (press release)
June 1, 2011
MOUSCRON, Belgium, /PRNewswire/ -- Cargill has today completed the acquisition of the assets and business
of Schwartauer Werke GmbH & Co. KG Kakao Verarbeitung Berlin, ("KVB"), the integrated cocoa and
chocolate company. Already the world's leading processor of cocoa, this acquisition means that Cargill now
becomes the leading provider of industrial chocolate in Germany, Europe's largest chocolate market.

KVB's two production plants, based in Berlin, will complement Cargill's existing German cocoa and chocolate
facilities in Klein Schierstedt and Hamburg, as well as its network of facilities in Europe, Brazil, Africa and the
United States. These two plants will expand Cargill's production capacity by over 75,000 metric tonnes of
chocolate per year, as well as increasing its workforce by approximately 180 employees. "We are delighted that
this acquisition has been completed and that KVB is now officially part of Cargill," commented Jos de Loor,
Managing Director Cargill Cocoa & Chocolate. "This acquisition marks a significant step in Cargill's cocoa and
chocolate growth strategy in Europe and secures our German market leadership position to serve our customers
across a broad range of food categories with chocolate products."

The integration of KVB into Cargill's cocoa and chocolate business will begin immediately. The combination of
Cargill's expertise in production, origination, and management of price risk coupled with KVB's capabilities,
professional workforce and customer base, will create an enhanced cocoa and chocolate house that will offer
customers - across a broad spectrum of food ingredient categories - innovative solutions and specialty products.

De Loor added: "We are excited to welcome the employees of KVB into our Cargill family and we look forward
to working closely with KVB's customers. This business will support our continued growth in Europe and our
intention is to invest in our combined capabilities to provide all our customers with superior choice, high quality
and extended market reach."

Cargill

Cargill is an international producer and marketer of food, agricultural, financial and industrial products and
services. Founded in 1865, the privately held company employs 131,000 people in 66 countries.Cargill helps
customers succeed through collaboration and innovation, and is committed to sharing its global knowledge and
experience to help meet economic, environmental and social challenges wherever it does business.

About Cargill in Germany

Cargill has been active in Germany since 1955 and has around 1,600 employees in 12 locations in the country -
in Barby, Frankfurt-Höchst, Hamburg (three locations), Klein Schierstedt, Krefeld, Malchin, Mainz, Riesa,
Salzgitter and Wittenberge where it has a joint venture producing biodiesel with Agravis Raiffeisen AG.

About Cargill Cocoa & Chocolate

Cargill Cocoa & Chocolate offers the food industry a wide range of both standard and customised cocoa and
chocolate ingredients to be used in bakery, confectionery, and dairy applications all over the world. Our product
range includes high quality Gerkens(R) cocoa powders, chocolate, coatings, fillings, cocoa liquors and cocoa
butters. With years of experience in technical food expertise Cargill supports its customers in new recipes and
new product development.

To secure a good quality and sustainable supply of cocoa beans we have cocoa bean sourcing operations in the
cocoa growing countries of the world and processing plants in Belgium, Brazil, Canada, Côte d'Ivoire, France,
Germany, Ghana, the Netherlands, UK and the USA - fully dedicated to produce in accordance with the highest
food safety standards and resulting in delicious cocoa and chocolate products for our customers.

About KVB
Schwartauer Werke Kakao Verarbeitung Berlin (KVB) is one of the leading German business-to-business cocoa
and chocolate manufacturers. With more than 45 years of experience in the production of chocolate and semi
finished cocoa products, KVB has developed unique product expertise for national and international customers.



                COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                            16
                    P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                           Email: econs@copal-cpa.org Website: www.copal-cpa.org
Customers range from large, small and medium sized European confectionary producers in the chocolate,
baking and ice-cream industry. KVB sources from cocoa producing countries all over the world and is
committed to deliver tailored solutions to its customers whether they need standard or highly specialised cocoa
products.

KVB is part of the AOH Nahrungsmittel Group located in Bad Schwartau. The AOH Group of companies which
also include Schwartauer Werke as well as the Swiss based Hero Group is controlled by Dr. Arend Oetker.

Cargill pushes growth in German cocoa market
MarketWatch
By Neena Rai
June 1, 2011,
LONDON (MarketWatch) -- Cargill's acquisition of Schwartauer Werke GmbH & Co. KG Kakao Verarbeitung
Berlin will enable a greater presence and network in Germany's cocoa industry, Cargill spokeswoman Wendy
Garbutt said Wednesday.

"As Germany is the largest European chocolate market this acquisition enables Cargill to be in the best position
to manage further growth and to meet the needs of our customers now and in the future," Garbutt told Dow
Jones Newswires.

KVB's two production plants, in Berlin, will expand Cargill's production capacity by over 75,000 metric tons of
chocolate a year, and increase its workforce by approximately 180.

"The integration of KVB's cocoa and chocolate assets and people into Cargill will strengthen our ability to serve
the needs of our customers in the bakery, confectionery and ice cream categories, and create the necessary scale
to better deliver efficient and innovative solutions," Garbutt said.

Cargill already has German cocoa and chocolate facilities in Klein Schierstedt and Hamburg, and has facilities
elsewhere in Europe, Brazil, Africa and the U.S.

In search of the best cacao in Peru
Living in Peru
June 1, 2011

                                           Cacao – where chocolate comes from. (Photo: Karen Zárate/El
                                           Comercio)

                                           Many producers in Peru are hoping that their cacao – the fruit that
                                           cocoa and ultimately chocolate comes from – is chosen as the best of
                                           Peru in the national contest "Peruvian Cacao, fine, exquisite aroma
                                           and flavors of the world," organized by the Ministry of Agriculture.

The aim is to promote the consumption and quality of the fruit, El Comercio reports. The fruit is yellow in color
and contains a flavorful, white, fleshy pulp inside that surrounds the cocoa beans that chocolate comes from.
To participate in the national contest, some regions of Peru have organized a pre-selection process. This is the
case of the provincial town of Leoncio Prado. From about 600 samples of cacao, three will be selected to
represent the department of Huánuco.

"The competition has been well received in the department, so we expect to exceed the 600 samples," said Erick
Perez Diaz, assistant manager of tourism in the province told Andina.

He noted that the samples will be evaluated by a jury and will be judged based on product quality, aroma and
flavor. Departmental level results will be announced on June 11.

Pritchard noted that the competition also aims, in the case of Huánuco, to promote cacao production in the high
jungle areas of the department as a substitute for coca leaf.




               COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                           17
                   P.O. BOX 1718, LAGOS, NIGERIA. TEL: +234(0)1-263-5574 FAX: +234(0)1-263-5684
                          Email: econs@copal-cpa.org Website: www.copal-cpa.org
The national competition is organized by the Peruvian Association of Cacao Producers, the Peruvian Chamber
of Coffee and Cacao, Alternative Development Program USAID/Peru and Inass Laboratories. The final will
take place July 10 at the Sheraton Hotel in Lima, in which the top five samples will be named.

Petra's Long-Term Prospects Looking Good
Food and Drink Insight (registration)
June 2, 2011
With the Singapore consumer in a strong shape, Petra Foods , the leading cocoa ingredients and chocolate
confectionery manufacturer in Singapore, has much to be optimistic about over the coming years. Petra has two
separate divisions, namely a cocoa ingredients division, which supplies cocoa ingredients such as cocoa powder
and cocoa butter for global confectionery players, and a branded consumer division, which produces
confectionery products such as chocolates, wafers and biscuits. Geographical diversification and product
innovation are integral to Petra's growth strategy, while capacity expansions, branding initiatives and supply
chain improvements will remain key tenets of the company's strategy, and these initiatives should allow Petra to
replicate its success going forward.

Fluctuating Cocoa Prices The Biggest Near-Term Risk

Supported by strong demand for its confectionery products and cocoa ingredients, Petra recorded a 27.9%
growth in revenues for Q111. With domestic demand prospects looking strong in South East Asia (the key
market for Petra's confectionery products) and well-supported global demand for Petra's cocoa ingredients, there
is a strong cause for optimism in the company's near-term revenue growth prospects ( see chart 1 ).

Fluctuating cocoa prices, however, pose a significant threat to Petra's near-term margin growth ( see chart 2 ).
Given its overarching reliance on cocoa beans as its key input, Petra is particularly vulnerable to fluctuations in
cocoa prices. Although our commodity desk expects cocoa prices to moderate over H211, given that markets are
fundamentally well-supplied, there is a risk that cocoa prices could begin to tick up, which would in turn place
downward pressure on Petra's profitability.

That said, we note that the strength of the Indonesian rupiah and the Singapore dollar could help mitigate the
impact of high input costs on Petra's bottom line ( see chart 3 and 4 ). With most of its operations based ...


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                COCOA PRODUCERS’ ALLIANCE, NATIONAL ASSEMBLY COMPLEX TAFAWA BALEWA SQUARE,                            18
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                           Email: econs@copal-cpa.org Website: www.copal-cpa.org

								
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