World: Smaller chocolate bars and less cocoa, manufacturers try to overcome the increase in the price of the fruit

Published 2024년 8월 7일

Tridge summary

The price of cocoa on the New York Stock Exchange has surged by 110% over the past year due to climate issues in Africa, the continent's main cocoa-producing region. Despite this, the cost of chocolate has risen only marginally. The cocoa sector is expected to face a third consecutive year of global production deficit. However, there is potential for increased production in Brazil, a significant cocoa-producing country. Chocolate manufacturers are implementing strategies to absorb the increased costs, such as reducing bar sizes, by keeping the product price the same. These companies also have larger stocks of raw materials and are delaying the purchase of new units.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The price of cocoa on the New York Stock Exchange has already risen 110% in the last year. The main reason is the climate problems affecting the African continent, which represents 70% of the world's supply. Côte d'Ivoire is the largest cocoa-producing country in the world and suffers serious climate consequences, as the country's cocoa trees are old and have become more sensitive. Despite the rise in cocoa, the price of chocolate rose only 3.98% in June compared to the same month last year, according to the Broad National Consumer Price Index (IPCA), from the Brazilian Institute of Geography and Statistics (IBGE). ). This happens for different reasons, such as full stocks from previous harvests, smaller chocolates and new recipes with products that depend less on cocoa. For experts, the sector's improvement could take up to 10 years, the time it takes for a newly planted cocoa tree to reach peak production. Cocoa is expensive, but, for now, chocolate consumers are not yet being ...

Source: G1globo