Cocoa prices have been resilient in the economic downturn and confectionery manufacturers are concerned that the tight supply will keep prices high for some time.
Chocolate and cocoa manufacturers take a cautious view – despite gourmet chocolates reputation as a "recession-proof" item, few know or are willing to provide what the consumer demand will be.
There is a cocoa supply deficit, and problems with the supply will continue into 2009. The Ivory Coast is the worlds largest producer, and strikes and corporate corruption have affected cocoa supply to all ports.
Sugar futures have also held firm amid this market turmoil. Output from the world’s two biggest sugar exporters, India and Brazil, is suppose to drop, with a smaller harvest.
Chocolate is a defensive industry and consumption has proven to be good in other economic downturns. A forecast that the chocolate confectionery market – at least in the United States – will continue to grow.
In these slower and harder times we chocolate lovers need our gourmet chocolates – even at higher prices.
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