New SGS Cocoa Grading Facility Opens in Amsterdam
Working with CME Group, the world‘s leading and most diverse derivatives marketplace, SGS has opened a new state-of-the-art cocoa grading facility in Amsterdam.
SGS has been inspecting cocoa in Amsterdam for more than 50 years. In a global market of more than 4 million MT, Amsterdam is one of the main ports handling cocoa in Europe.
Physically delivered, euro-denominated Cocoa futures were launched on CME Europe in March this year. Since launch it has traded more than 6,000 contracts and has over 1,000 contracts in open interest. This was complemented in June 2015 by the introduction of Cocoa options. Amsterdam was selected as one of three delivery ports for CME Group’s new Cocoa futures contracts, on the strength of our cocoa inspection expertise.
Futures markets in cocoa are essential to manage risks in the complex supply chain involved in chocolate and related manufacturing across Europe. For a futures contract to be an effective hedge for physical cocoa, the process of sampling and grading cocoa held in storage must be rigorous.
"Delivering high quality services and fast turnaround times, our new grading facility puts SGS and CME Europe at the forefront of the European cocoa market," said Albert Wesenhagen, Agricultural Business Development and Branch Manager, SGS. "We will conduct intake supervision, as well as all testing and grading in accordance with CME Europe criteria and procedures and FCC rules."
"Opening a grading facility in Amsterdam puts this important function within close proximity of the key cocoa storage facilities, therefore improving the efficiency and cost effectiveness of the futures sampling and grading process," said Cees Vermaas, CEO of CME Europe.
For more information, please contact:Albert Wesenhagen
Business Development and Branch Manager
t: +31 20 4487797