Chocolate prices highest in years

Record high cocoa prices have sent chocolate prices soaring ahead of Valentine's Day.

Couples in love around the world have just experienced a rather expensive Valentine's Day, as chocolate prices have risen to their highest level in many years due to rising sugar and cocoa prices. This is the third consecutive year that cocoa supply has not met demand and this trend is unlikely to improve in the near future, according to market analysts.

During the week of February 5-9, world cocoa prices soared 19.23%, reaching a record high of $5,909/ton, up to 40% more expensive than the price of cocoa traded at the beginning of this year. Cocoa prices rose to new record highs as increasingly harsh weather conditions and crop diseases reduced production in cocoa granaries such as Ghana and Cote d'Ivoire. Currently, the cocoa production of these two countries accounts for 60% of the world's output.

According to market analysts, poor harvests in the two countries have reduced global output, creating a shortage of cocoa supply for markets.

Côte d'Ivoire's cocoa exports are expected to decline by around 39% year-on-year from October 1, 2023 to February 4, 2024, to 1.04 million tonnes. Similarly, Ghana's cocoa exports are expected to decline by around 35% to 341,000 tonnes from September 1, 2023 to January 31, 2024.

Chocolate for Valentine's Day February 14 in Chicago, Illinois, USA. (Photo: Getty)

Record-high cocoa prices have driven up chocolate prices ahead of Valentine’s Day. The El Nino phenomenon has caused drier weather in Southeast Asia, India and parts of Africa, reducing cocoa production and sugarcane harvests. Many analysts believe that chocolate prices will continue to rise, forcing retailers to raise prices.

Chocolate prices have risen 11% over the past year and are believed to be at multi-year highs. Many market analysts say it is difficult to predict chocolate prices in the near term as the trend of rising cocoa prices continues. This could be a further shock to consumers, who are already struggling with high living costs due to high inflation.

Vietnamese cocoa is known as one of the best cocoa varieties in the world, having won the world's quality cocoa award. However, our country's annual cocoa bean output is only about 4,500 tons, accounting for about 0.1% of the world's output. With the current "Supply cannot meet demand" situation in the world, cocoa is also an industry that still has a lot of room to exploit in the future.

According to VTV.vn

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