Heads Up cocoa largest weekly in six weeks before the elections in Ivory Coast

Cocoa rose in London, heading for the biggest weekly gain in six weeks, as the disputed presidential elections in Ivory Coast, threatened to disrupt exports from the world's largest producer.

Ivorian Constitutional Court challenged the authority of the Election Commission announce the results of the vote Nov. 28 after missing a deadline to announce the result, according to court President Paul Yao N'Dre. The commission was appointed opposition leader Alassane Ouattara as the winner.

"Because cocoa production is so highly concentrated in Ivory Coast, political disturbance, violence or unrest" will prices rise because investors apply a "risk premium," said Kona Haque, analyst at Macquarie Bank Ltd. London, by telephone today. "The market is ready for a rebound."

Cocoa for March delivery gained 18 pounds, or 0.9 percent, 1,941 pounds ($ 3,041) a ton at 10:38 am on NYSE LIFFE. Prices have risen 3.6 percent this week and yesterday added as much as 5.2 percent this year, the highest intraday rise.

The vote was intended to unite Ivory Coast, which has been divided between rebel north and government controlled south since an uprising in 2002.

"Cocoa arrivals at ports of the season so far have been significantly lower year on year, although we had a very good harvest," said Haque. "This suggests that producers are holding back, either because it is not satisfied with the price or activities have been minimized because they are fearful of the political situation and wants to wait to see the result."

Coffee rises

Cocoa for March delivery added $ 30, or 1 percent, to $ 2,898 a ton on the ICE Futures U.S. in New York. Yesterday, prices rose 4 percent, the most since October 2009.

Robusta coffee for March delivery advanced $ 21, or 1.1 percent, to $ 1,869 per tonne on NYSE Liffe, in the course of a quarter increase. Arabica coffee for March delivery rose 2.7 cents, or 1.3 percent, to $ 2.064 a pound in New York.

Cameroon Arabica exports fell to zero in October, cocoa and coffee among professionals Board said. Shipments were 126 tons last year, said today, adding that heavy rains may have delayed the new harvest.

White sugar for March delivery rose 1.4 percent to $ 738.10 a ton on the Liffe Exchange in New York, heading for a gain of others. Raw sugar for March delivery rose 1.3 cent to 28.83 cents a pound in New York.

Sugar production in India, the second largest world producer after Brazil, fell 46 percent from a year earlier to 893,000 tonnes from November 15, according to the Ministry of food.