January 19, 2015
Marking the first change since China’s COFCO paid $1.5 billion for a 51% stake in Hong Kong-based Noble Group’s agricultural division last April, Noble Group is liquidating its cocoa trading book and is working toward exiting the cocoa business by June of this year to free up its joint venture with COFCO to focus on larger agricultural interests such as grain. Industry sources state that Noble has forged a deal to sell a portion of its cocoa pod counting and sustainability operations to U.S.-based cocoa processor and trader, Transmar Group, which will also assist in reducing Noble’s trading book. The joint venture between COFCO and Noble links COFCO’s grain and oilseed processing operations and distribution networks with Noble’s sourcing and trading arms. The joint venture also links the two groups through cotton, sugar, and coffee businesses. Noble’s cocoa division includes exports operations in both Ghana and Ivory Coast, and sources indicate that employees were directed months ago to half businesses for a year to allow both trading books to run out.
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