This Valentine's Day, chocolate prices are expected to increase by about 10-20% compared to last year as cocoa prices have more than doubled since the beginning of 2024, according to expert David Branch from the Wells Fargo Institute for Food and Agriculture Research.
Cocoa prices hit a record high of $12,646 per tonne in December 2024. Years of poor weather in the main cocoa-producing region of West Africa, coupled with cocoa bud swelling virus (CSSVD) caused by mealybugs, have reduced production.
According to the Producer Price Index, the cost of making chocolate has increased by more than 167% over the past two years, forcing retailers to adjust prices.
Swiss chocolate maker Lindt said in its 2024 report that it was a “challenging” year due to record cocoa costs and weak consumer sentiment. The company raised prices and predicted that trend would continue into 2025.
Hershey's, one of the oldest chocolate brands in the US, said it will continue to work with retail partners to ensure a diverse product offering suitable for the holidays and try to keep prices stable for consumers.
Dirk Van de Put, Chairman and CEO of Mondelēz International, which owns the Cadbury and Toblerone brands, highlighted the unprecedented increase in cocoa costs in the company's fourth-quarter 2024 earnings report.
Cocoa futures are up 143% by 2024, according to expert David Branch. Although cocoa futures fell below $10,000 a tonne on Monday (February 10), according to Intercontinental Exchange, Branch warned that prices could change very quickly.
He said the market remains concerned about whether the harvest can make up for the shortfall as demand continues to rise.
According to Mr. Branch, Côte d'Ivoire and Ghana produce 70% of the world's total cocoa output, but in recent years production in these West African countries has become unstable due to unpredictable weather and diseases.
That also creates opportunities for other countries like Ecuador to participate in cocoa production./.
Source: https://www.vietnamplus.vn/cacao-len-muc-gia-ky-luc-gia-chocolate-tang-20-vao-dip-valentine-post1011894.vnp
Comment (0)