The prices of chocolate products have soared due to climate change’s detrimental impact on cacao production. Companies like Orion and Haitai have raised their prices significantly, with cacao costs reaching record highs. This trend is linked to severe production declines in West Africa and is expected to affect other agricultural products as well.
The price of chocolate products, including cookies, chips, and snacks, has significantly increased due to the adverse effects of climate change on cacao production costs. On Sunday, Orion raised prices on 14 of its products by an average of 10.6 percent, with specific items like Choco Songyi and Bichobi experiencing increases of up to 20 percent. Concurrently, Haitai Confectionery & Foods adjusted prices on 10 of its products, such as Homerun Ball and Pocky, by 8.6 percent.
The ongoing rise in prices is largely attributed to dwindling cacao production, a crucial ingredient in chocolate, influenced by extreme weather conditions and decreasing cultivation areas. Industry experts indicate that this production decline is most pronounced in West Africa, which produces the majority of the world’s cacao supply. Recent data from the Ministry of Agriculture, Food and Rural Affairs reveals that cocoa, the processed form of cacao, has surged to $9,236 per ton—a 127 percent increase from last year and a staggering 246 percent rise from the average prices observed in recent years. Moreover, sources caution that climate change is likely to elevate prices for a wider range of agricultural commodities and processed goods as global warming progresses. They have noted recent price spikes in sugar, flour, and palm oil as indicators of the broader impact climate change is expected to have on food pricing.
The phenomenon of climate change is having profound effects on global agriculture, particularly in regions like West Africa, where cacao is predominantly cultivated. Rising temperatures, altered rainfall patterns, and increased instances of extreme weather threaten to limit cacao production, fundamentally affecting the supply chain of chocolate products. As cacao serves as a key ingredient for numerous confectionery items, fluctuations in its production significantly translate into price adjustments across the entire market. The broader implications of climate change extend beyond chocolate, with similar impacts anticipated for various agricultural products as global environmental conditions continue to evolve unfavorably.
In summary, the rising prices of chocolate-based products are indicative of the significant challenges faced by cacao production due to climate change. The increases in prices by major confectionery companies reflect the urgent need to address the environmental factors impacting agricultural output. As the scenario develops, it is probable that consumers will witness further price adjustments across various food products as the repercussions of climate change continue to unfold.
Original Source: www.koreatimes.co.kr
