The New Year is set to bring a further increase to the cost of chocolates according to Spiros Theodoropoulos manager of Greece’s Chocolate company ION. Much to the disappointment of consumers with a sweet tooth, retail prices will soar due to the rally in global cocoa prices.
According to research by the Greece’s Consumer Goods Retail Research Institute, biscuits, chocolates, and sweets are the product category with the second largest price increase in 2024 (+4.76%), following fresh fish and seafood.
Theodoropoulos points out that this year alone, some ION products have seen price increases ranging from 3% to 7% in supermarkets, with the industry still not managing to cover production costs. However he adds that prices in small retail outlets like kiosks and convenience stores have not risen.
“We used to buy cocoa butter at 4 euros per kilo, and now we buy it at 27 euros,” Theodoropoulos notes, explaining the reasons behind the recent price hikes.
It is worth mentioning that cocoa butter, derived from cocoa beans, is a key ingredient in chocolate. A typical milk chocolate bar contains approximately 20% cocoa butter.
According to data from Greece’s Statistical Authority ELSTAT over the last three years chocolate and chocolate product prices in the Greek market have skyrocketed by 25.3%.
Globally, cocoa futures prices recorded percentage increases in 2024 that surpassed even those of Bitcoin. Cocoa started at 4,209 USD per metric ton in Jan. 2024 and soared to 12,931 USD in Dec., the highest price in the last 50 years.
This drastic price rise is partly attributed to the impact of the climate crisis in West Africa, where over 70% of the world’s cocoa is cultivated, with cocoa bean volume at export facilities reported to have fallen below the five-year average, suggesting a smaller crop size for 2025. Analysts predict that retail chocolate prices will rise by at least 10% in 2025.
This uncertainty in cocoa prices seem to give rise to less chocolaty chocolates, with chocolate bar fillings like caramel, nuts and fruit being the product’s main ingredient, and this because the fillings cost less than the chocolate itself.
The “Dubai Chocolate,” filled with pistachio cream and crispy shredded kataifi dough, which has gone viral on TikTok and Instagram, reflects this prediction.
