(Adds Barry Callebaut response)
By Ange Aboa
ABIDJAN, Feb 23 (Reuters) - Ivory Coast's cocoa
regulator has restricted 20 major traders, including Cargill and
Barry Callebaut, from purchasing beans for export after they
reached their buying limits, the head of the Coffee and Cocoa
Council (CCC) said on Thursday.
Port arrivals have slowed as the world's top cocoa producer
heads towards the end of its October-to-March main crop, raising
concern exporters might default on their contracts due to tight
supply.
The CCC refuted this on Monday but said measures would be
implemented to limit extra purchases and stock-building by some
exporters while others struggled to meet their requirements.
"We have informed 20 exporters who reached their purchasing
limits for the main crop that we have closed registration for
them," CCC head Yves Brahima Kone told Reuters by phone.
Traders concerned include giants Cargill Inc and
Barry Callebaut , as well smaller local companies, Kone
said.
He explained the CCC was activating a limit on extra cocoa
bean purchases set up during a 2012 reform to protect smaller
exporters from multinationals.
Barry Callebaut said it had been able to fulfill its normal
buying patterns and that factories in Ivory Cast were running as
per usual.
"We remain in constructive dialogue with CCC and will resume
our normal buying pattern as soon as the temporary measures are
lifted," spokesperson Frank Keidel told Reuters via email.
Cargill did not immediately respond to a request for
comment.
The two companies are the biggest buyers of Ivorian beans
and also the largest cocoa grinders in the West African country.
Industry sources said the purchasing limit would allow
smaller local exporters to honour their commitments.
However, an unnamed local exporter said the measure may
still not be enough.
"The truth is that there is no longer enough cocoa for
everyone," he told Reuters.
Main crop yields have been lower than usual this season due
to months of below-average rainfall and poor weather conditions.
Kone said the shortages were unexpected but assured the CCC
had pre-sold beans with a sufficient security margin to avoid
defaults.
(Reporting by Ange Aboa;
Additional reporting by Sofia Christensen in Dakar; Editing by
Sofia Christensen and Sharon Singleton)
