Chocolate in Brazil: A Sweet Indulgence Amidst Global Cocoa Crisis
Price Increases Yet Steady Consumption
In 2024, despite a global crisis in cocoa production and rising raw material prices, chocolate continues to remain a popular choice in the Brazilian consumer's shopping cart. According to a survey by Kantar, a market research company, the price of chocolate in Brazil has increased by up to 18% between January of last year and May this year.However, despite inflation, Brazilian chocolate consumption has not declined. In fact, the volume of chocolate consumption grew by 15.5% between January and May this year compared to the same period in the previous year.
Growth in Multiple Product Categories
This growth in the sector can be attributed to increased consumption across various chocolate product categories, including bars, chocolate boxes, snacks, candy bars, and confectionery.Global Cocoa Crisis and Price Surge
The International Cocoa Organization (ICCO) predicts that global demand for cocoa will exceed supply by 439,000 tons during the 2023/24 harvest season, marking the third consecutive year of a production deficit. As a result of this shortage, cocoa prices have surged, with a ton of cocoa reaching a historic price of $11,878 on the New York Stock Exchange in April.Chocolate's Enduring Place in Brazilian Culture
Despite the global supply issues, chocolate remains deeply embedded in Brazilian culture. According to Jaime Recena, the executive president of the Brazilian Association of the Chocolate, Peanut, and Candy Industry (Abicab), chocolate consumption is a well-established habit in Brazil, and the industry continues to adapt to consumer preferences.“These products come in a variety of flavors and weights: milk, with nuts, peanuts, more intense,” Recena says. The wide range of offerings ensures that chocolate remains accessible to all segments of the population. It is a product that features in celebrations, is given as a gift, and is often used in family recipes.