Fazer seeks alternatives as cocoa prices soar

Cocoa crops in Africa have been devastated by heavy rains followed by drought, leading to a surge in cocoa prices globally. The price of cocoa has recently surpassed $10,000 per ton for the first time ever. This has been caused by adverse weather conditions in Ghana and Ivory Coast, which are the world’s largest cocoa-producing countries.

The El Niño weather phenomenon has brought heavy rains to the region, exposing cocoa trees to diseases and causing beans to rot on the trees. The exceptionally dry conditions that followed have impacted cocoa production. Climate change exacerbates these challenges, with the El Niño phenomenon becoming stronger.

To respond to the rising cocoa prices, chocolate manufacturers have implemented various strategies. Some have increased prices while others have reduced the size of their products without changing the price. Finnish company Fazer has also raised prices due to the cocoa price hike and is exploring alternative raw materials to replace cocoa.

Fazer is researching potential substitutes for cocoa and experimenting with cereal-based chocolate bars. While they aim to maintain product quality, they are also looking at cost-saving measures. The company is preparing for various future scenarios as they navigate the challenges posed by the cocoa price increase.

Despite efforts to mitigate the impact of rising cocoa prices, uncertainty remains in the industry as operators monitor the autumn cocoa harvest to determine future supply availability. High cocoa prices may eventually be passed on to consumers, affecting their purchasing decisions. As

Leave a Reply