British Cocoa Buy May Lead to Skyrocketing Chocolate Prices
July 19, 2010
The 241,000 tonnes of cocoa purchased is estimated to have a worth of more than $1 billion, and according to MSNBC, it could be all that is available on the European market, a shocking purchase.
Anthony Ward is responsible, the former chairman of the European Cocoa Association, and no the co-founder of a major hedge fund. He has managed to tip the balance of cocoa ownership, causing prices to rise in Europe, and to drop in the U.S.
“For one buyer it would be likely to be a little too large. It would be a crazy number. If it looks like cornering, feels like cornering and the price difference between Europe and the US is so large, it probably is cornering,” analyst Eugen Weinberg was quoted as saying.