Olam (O32.SG) hardly swayed by US$43.5 million ($59 million) investment to boost its cocoa business, +0.4% at $2.56 in thin trade, mirroring modest gains in broad market. Lack of excitement over commodity trader’s decision to set up 2 cocoa processing plants in Africa not surprising since they’ll be ready only by 1Q12, says Dow Jones.

“We estimate the project will take about six years to break even. Overall, we are positive on this development, though there is no foreseeable earnings impact,” says Kim Eng Securities, which has Buy call with $3.00 target.

DBS Vickers, which has Buy call with $3.29 target, says while Olam will end up competing with existing customers once plants operational, “we understand that the group had already undertaken feasibility studies to ensure adequate outlets.” Immediate resistance at $2.60 (August 11 high).