Pervian Cocoa Exports Perform Well in 2022's First Half

Published 2022년 7월 28일

Cocoa is among the top producers and exporters of cocoa in the world. The country particularly specializes in producing organic and fairtrade cocoa, exporting them to large markets like the United States and the Netherlands. Both these countries recorded a YoY increase in Peru’s cocoa exports with demands for the product recovering post-pandemic. While the price of Peruvian cocoa recorded a YoY increase of 6% in the U.S., it declined by over 20% in the Netherlands. Due to logistical issues in global trade and delayed shipments from the Ivory Coast, Peru was able to tap into both the U.S. and the Netherlands. However, Peru's average cocoa quality has caused prices to depreciate, reducing their trade value.

About 1.7% of the world’s cocoa beans are produced in Peru, making it the 8th largest producer in the world and the 3rd largest in Latin America, after Brazil and Ecuador. In addition, the country is the second largest producer of organic cocoa in the world and the largest producer of fair-trade organic cocoa worldwide. In the first half of 2022, the country exported 37,837 mt of cocoa, which was worth USD 110 million, registering a YoY increase of 12% in volume and a slight drop of 1% in value. Peruvian cocoa shipments reached over 37 destinations, and the majority of cocoa was destined for the United States and the Netherlands, which had a share of 42% of Peruvian cocoa exports.

The United States was one of the most important destinations for Peruvian cocoa exports during the first half of 2022. The country had a share of 23% in Peru’s cocoa exports with volume and value of trade reaching 5,843 mt and USD 25 million respectively. In the first half of 2022, prices of Peruvian cocoa rose in the United States, with the average price received by exporters being USD 4.28 per kilogram, 6% higher than the previous year. The Netherlands is the second largest destination for Peruvian cocoa shipments, with a 19% market share. In the H1 of 2022m 8,160 mt of Perurvian cocoa was exported to the Netherlands which was worth USD 21 million. This is a YoY increase of 33% in volume and 6% in value. However, the average price paid by the country was 21% less than the previous year and possibly the lowest since the beginning of the pandemic.

The high inflow of Peruvian cocoa into these two countries was primarily because of logistical issues with global trade. Shipments from the Ivory Coast were affected by the distance they had to cross, and the shopping costs were reaching record high prices. This resulted in the United States importing from nearby markets. On the other hand, the Netherlands imported high volumes of cocoa from Peru due to the low prices the country offered. Over the last few months, there has been a gradual recovery of world demand for cocoa and chocolates, yet Peru has not been able to keep up with the growth of the market. This is primarily due to the quality of cocoa beans offered by the country, which fetches relatively lower prices in the market. With improved cocoa bean quality, Peru will be able to improve its export prices and overall trade value from their cocoa trade.