Cocoa prices skyrocketing, experts say

The price of cocoa has been on the rise since 2023, and according to experts, the popular baking ingredient has skyrocketed even more in the last two weeks.

Dalhousie University’s Agri-Food Analytics Lab Director Dr. Sylvain Charlebois says climate change is slowing down supply for international cocoa manufacturers.

“There are droughts and sometimes too much rain that damages roads,” says Charlebois. “Essentially, you have a lot of cocoa not reaching the market which is why prices are actually skyrocketing right now."

Charlebois says businesses that rely on cocoa face unique challenges.

“Chances are if you’re a cocoa buyer, you’re likely going to spend more right now than you did last year,” he says.

The owners of Whim Chocolate in Halifax say they’ve seen an increase when buying products to make their in-house chocolates.

“We use Callebaut Belgian as the base for our chocolates, and we have seen an increase,” says co-owner Marshall Parker. “It was about 43 per cent for dark, 53 per cent for milk and 56 per cent for white."

Parker and his wife say they want to make their chocolates accessible to everyone, which has prompted them to keep their prices the same.

But Charlebois says for businesses to keep up, they will have to find ways to balance price and profit.

"They may not decide to change their prices, but they may decide to shrink-flate their products,” says Charlebois. “So, putting less cocoa in their products to make sure they maintain a certain price."

Sweet Jane’s Gift & Confectionary in Halifax says they weren’t affected by the increase in cocoa.

Store owner Janet Merrithew says they decided to buy their products a year in advance.

“I believe our suppliers have been very good to us to try and keep prices somewhat the same,” she says. “We might see a difference next year…I don’t know at this point.”

Both Merrithew and Charlebois say businesses should try their best to buy products as early as possible.

“The beauty of cocoa is that you can actually conserve cocoa for a long time,” says Charlebois. “You’re likely going to look at higher prices next year.”