ACCRA: As cocoa prices soar to unprecedented levels, chocolate enthusiasts worldwide may soon face a shortage of their favorite sweet, with economists predicting no relief in sight in 2024, local media reported on Saturday.
Since the start of the previous year, cocoa prices have more than doubled, hitting a record high of $9,010.59 per ton in the New York commodities market in February. Various factors, including adverse weather conditions, smuggling activities, and the spread of swollen shoot disease have all contributed to the price surge. These issues have led to diminished crop yields in key cocoa-producing regions like Ivory Coast, responsible for nearly 40% of global cocoa bean production, and Ghana, which accounts for 20%.
Chocolate Enthusiasts May Face Shortage of Their Favorite Sweet
The El Nino weather pattern, known for causing dry conditions in West Africa, has further hampered cocoa production in these nations. Additionally, strong seasonal winds and insufficient rainfall have exacerbated the shortage, prompting traders to scramble for limited supplies and subsequently driving prices upwards.
As the cost of primary ingredients rises, producers of chocolate are preparing for possible declines in demand. According to a survey by ingredients supplier Henley Bridge, the sector will face further pressure as cocoa prices are expected to rise by 15-20% for the rest of 2024.
The effects of the cocoa shortage go beyond the chocolate industry. Goods like medicines and cosmetics that depend on cocoa may see price increases or supply chain interruptions. In a state of shortage, emerging economies with high chocolate demand might find it difficult to satisfy consumer demands.
—AA/APP
