Commodity Risk Management
Creative Risk Management & Origin Sourcing Network
In becoming the largest and oldest cocoa bean processor in North America, we’ve amassed a wealth of information along the way. Our team brings over 98 combined years of experience in the industry to advise on fundamental and technical market outlooks for cocoa, sugar, dairy, fats and oils markets.
Over 85% of the price of our products is derived from underlying commodity costs, so market analysis and commodity risk management is vital to our livelihood. We can help you apply that knowledge to your business with customtailored tools to help mitigate your commodity exposures.
We have the ability to create customized price risk management strategies that are tailored to the risk tolerances and objectives of our customers. We are experienced in the use of ratios, combos and offer an array of price risk management tools (component locks, options contracts, etc.) and specialize in hedging solutions.
Meet the players on our commodity risk management team:
Jeff Rasinski, Vice President of Commodity Risk and Ingredients Procurement
Jeff has over 20 years’ of experience in commodity trading and procurement, including work with Mars Snackfoods USA, Nestle/Dreyers. Jeff oversees our cocoa press book, setting of product ratios and pricing of butter and powder, as well our hedging strategies with futures and options. Crop forecasting and fundamental analysis, including the fair value price model, is also part of Jeff’s responsibilities. He has direct purchasing responsibilities for: Sugar and Sweeteners, Dairy (Powders, butterfat, whey, lactose and functional proteins), Tropical and Specialty Oils, Energy: electricity and natural gas.
Karl (Kip) Walk, Corporate Director, Sustainability
Kip Walk has been active in the cocoa industry for more than 30 years, working in many segments of the industry including sales, logistics, quality control, futures trading and commodity procurement. He is currently Blommer’s Corporate Director, Sustainability, managing the company’s sustainability efforts from supply chain challenges through to systems for reducing energy usage and Blommer’s carbon footprint. Kip has had the honor serving as Chairman of the Board of Cocoa Graders for ICE Futures U.S, the National Confectioners Association’s Cocoa and Chocolate Regulatory Committee, and the industry’s leading sustainability organization, the World Cocoa Foundation. Currently, Kip is the Chairman of the Board of Directors for the Cocoa Merchants Association of America.
Sheila Fortune, Manager of Commodity Hedging
Shelia manages of futures structure book for Blommer. In addition, Sheila oversees technical and chart analysis and the determination of chart points to aid customers in their buying decisions. She has over 25 years of experience in the cocoa community, many with large Wall Street firms. She has been responsible for institutional trading, futures trading, technical analysis and arbitrage trading for high end chocolate manufacturers and trade houses. She also currently serves on the Contract Committee for the CMAA (Cocoa Merchants Association of America) and holds a Series 3 Commodity license, Series 7, 63 and 65 stock/equity licenses.
Andy Laudermilch, Commodity Analyst
Andy joined the Blommer commodity team in March 2014 assuming the role of Commodity Analyst. He will responsible for procurement and market analysis of tropical oils and raw material categories including: polyols, lecithin, corn derived starches and other ingredients. He is a Penn State graduate, with a major in Agribusiness Management and a minor in Economics. Previously working for Ecoval Dairy Trade/Louis Dreyfus Commodities Dairy Platform, Andy brings Blommer dairy commodity experience including global trade, risk management and international logistics.