Bloomberg reports Mamadou Sangafowa of the Ivory Coast told reporters on Monday that the drive of the reimbursement plan is one reform to address smuggling operations between Ivory Coast and Ghana, which recently announced plans to challenge its neighbor as the top producer of cocoa. Bean processing also is likely to increase in the nation from 35 percent to 50 percent, he said.
"At least 50 percent of the price will go to the farmers," the minister told reporters in the commercial capital of Abidjan.
At 2 p.m. on Monday, cocoa futures slipped 0.35 percent, a $10 loss to $2,863 per metric ton.
The West African nation is recovering from a civil war that stemmed from a disputed presidential election in November 2010, when 10-year incumbent Laurent Gbagbo refused to cede power after opponent Alassane Ouattara was declared the victor. Gbagbo ultimately was forcibly removed by peacekeepers from the U.N. and France and he faces political corruption charges and crimes of violence counts are believed to be pending.
Agence France-Presse reports the Ivory Coast under Gbagbo helped fund the election campaign of Jacques Chirac of France in 2002, according to a former aide to Gbagbo.
This material is conveyed as a solicitation for entering into a derivatives transaction.
This material has been prepared by a Daniels Trading broker who provides research market commentary and trade recommendations as part of his or her solicitation for accounts and solicitation for trades; however, Daniels Trading does not maintain a research department as defined in CFTC Rule 1.71. Daniels Trading, its principals, brokers and employees may trade in derivatives for their own accounts or for the accounts of others. Due to various factors (such as risk tolerance, margin requirements, trading objectives, short term vs. long term strategies, technical vs. fundamental market analysis, and other factors) such trading may result in the initiation or liquidation of positions that are different from or contrary to the opinions and recommendations contained therein.
Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.
Trade recommendations and profit/loss calculations may not include commissions and fees. Please consult your broker for details based on your trading arrangement and commission setup.
You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. You should read the "risk disclosure" webpage accessed at www.DanielsTrading.com at the bottom of the homepage. Daniels Trading is not affiliated with nor does it endorse any third-party trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.