The Transition of the Global Supply Chain Amidst Rising Cocoa Prices

The confectionery industry has been booming at an unprecedented rate over the years. The recent hike in the cocoa prices has halted the industry's functioning due to the sheer reminder that cocoa is the core of confectionery production.

Cocoa has been one of the most affordable ingredients for decades. Beyond, its price range, its richness, freshness, and uniqueness as an ingredient enabled it to become a backbone ingredient for the confectionery industry. Business supply chains effortlessly transitioned into curating paradigms from cocoa. However, the recent price rise has propelled the Global Market to evaluate the next possible course of action owing to the massive surge caused in the standard price of functioning.

Why has the price of cocoa increased? The production regions of cocoa are the West African countries, the Ivory Coast and Ghana. 2/3rd of the world's cocoa output is derived from these regions. They produce 2/3rd of the world's cocoa output. Due to adverse weather conditions (El Niño) and significant disease outbreaks, the production of cocoa has been greatly compromised.