Glencore flotation perforated by the Ministers of the g-20 (OneWorld.net)

 ambitious plans by the trader of major commodities in the world to raise funds in London and Hong Kong markets may be at risk from the threat of scrutiny regulatory international sector.

Meeting in Washington last Friday, Ministers of Finance of the g-20 major economies invectives in response to inflationary pressures are disrupting their strategies carefully developed economic recovery.

Inflation is driven by spiralling prices of food and raw materials. The Ministers believe that non-supervised commercial speculative commodities may be partly responsible.

The documents prepared by the World Bank of information warned the meeting this current spikes in food prices "poses risks of fundamental food security for consumers and Governments, while discouraging investment in the agricultural sector for development".

The Bank estimates that, between June 2010 and 2011 February, 44 million people slipping below the international poverty line. He predicted that a new 10% increase in food prices world would add another 10 million for the roll call of extreme poverty.

Despite this humanitarian distress, or perhaps at his expense, there are winners in the chaos of the market.

Higher prices swell the gains of the small number of companies that control global trade in agriculture and mining products. Handsome profit announcements have emerged in recent weeks of corporations such as Cargill and Bunge agribusiness.

To capture this value, the giant Swiss Glencore International, announced last Thursday his plans to become a public company, offering to sell about 20% of its shares, mainly to London-based.

The flotation mid-May may collect more than 10 billion dollars, potentially the most important appeal in the history of the London Stock Exchange. 65 Glencore leaders are set to do paper fortune more than $ 100 million.

The timing of the announcement of Glencore involves an element of risk to its proximity to the meeting of the G20. The French Government, current Chairman of the group, made no secret of its intention to convince the leaders of the world to introduce regulations on commercial goods when they meet in Cannes in November.

Institutional investors in their assessment of Glencore will mark if they believe that new regulations are in the pipeline.

"We stressed the need for the participants of the derivatives markets to be subject to appropriate regulation and supervision," was the verdict of the g-20 finance ministers in their statement released Friday. The French are not bluff.

A simultaneous gathering of leaders of BRICs, Brazil, Russia, India, China and South Africa was probably more important than the G20 meeting.

Despite their distance physical and philosophical of the Citadel of Washington from the world of finance, the message of Hainan in China was almost identical.

"The regulation of the market for derivative products must therefore be strengthened to prevent activities capable of destabilizing the markets," said the leaders of BRICS. China and the India in particular are troubled cruelly by the fears of social unrest which may result from the increase in food prices.

Although the main target of the new regulation would be investment banks who design and trade securities index complex based on the price of raw materials, companies like that Glencore are responsible for the underlying contracts for delivery.

They have close trade ties with banks and are more rewarded by increases in the price. The G20 countries have commissioned a report to examine whether the volume of speculative trade contributes to price higher, more fundamental more conventional supply and demand.

Glencore is facing an additional examination by rules of London Stock Exchange requiring disclosure of information which have so far been kept runaway. The company has a history of reluctance in relations with the media.

There were input sharp of institutional breath new Glencore manages at least half of the market in the world production of copper and zinc, but also holds interests in the extraction and processing. Possession of such sensitive market information in parallel with the fixing of prices is bound to offend the principles of liberal markets.

In response to revelations of Glencore, section leader on Saturday in the influential Financial Times concluded: "If policy makers commercial products without supervision, this erstwhile eddies might one day become a sea of economic problems."

Glencore of agricultural trade market share is much smaller, but the genius of regulatory risk is out of the bottle.

The movement of feelings towards the regulation of commercial products in the space of a week will come as a boost to the activists of the struggle against poverty. International NGOs have been pressing for a clamp-down on speculators since the 2007-2008 food crisis.

"Stop the game on food and hunger" was the title of a letter signed by more than 100 groups of civil society in the world prior to the meeting of the g-20 February. The letter called on Ministers to rein in the "small but powerful group of vested interests." that take advantage of fundamentally detrimental activity for the vast majority of people

Luc Lempriere, Executive Director of Oxfam France, gave a swift welcome the outcome of Friday. "Quick action is necessary on the G20 call today for greater transparency and regulation of product markets." "Excessive speculation is amplify the volatility of prices and worsening the food crisis," he said.

Glencore is based on an old adage of the London Stock Exchange: "sell in May and disappear." And the company hopes that the preliminary unpleasant wash his dirty laundry in public may quickly by hidden from view by the distraction of the royal wedding.