One of the hallmarks of a market-based economic system is the fluctuation in cost of goods and services based on supply and demand. While many commodities have seen unprecedented inflation due to supply chain challenges, one particular product has experienced record-breaking price increases — cocoa. As CNBC reports, in April of 2024, cocoa prices peaked at a cost of $11,000 per metric ton, up from roughly $2,500 in previous years.
This represents an increase of over 300%, which has created something of a quandary for chocolate and candy producers, who have had to become resourceful and creative in meeting the increasing consumer demand for confectionery treats. Daily Meal spoke to Carly Schildhaus of The National Confectioners Association , who explained that confectionery sales hit $48 billion in 2023 and is expected to jump to $61 billion by 2028. As she says, "In this environment in which consumers are facing higher food prices, people are looking for ways to manage their own personal costs — yet at the same time, consumers are still turning to the confectionery category to help them elevate their most cherished moments.
" To more clearly understand how rising cocoa costs impact the candies that we have all come to know and love, it's important to take a closer look at the supply chain itself — how it works, why it has been impacted, and what the future may hold. Let's take a deep dive into why chocolate is so expensive in 2024, and what this means for your favorite c.