recession in chocolate industry


Important in the manufacturing process of chocolate increase in price of cocoa beans Due to this the chocolate industry is facing big problems.

related facts

  • Its price in April $12,000 per ton Reached, which is four times more than last year.
  • Cocoa beans are processed to make chocolate, but production has decreased as the beans have become expensive.


  • Origin and Distribution: Cocoa is a small plant which is originally American tropical regions They are found in India, but are now being cultivated in tropical regions around the world.
  • The dried and fully fermented fatty seeds of the cocoa plant are used in the manufacture of chocolate.
  • Primary Producers: Leading countries in cocoa production globally Ghana, Nigeria, Ivory Coast and Brazil Is included.

need for favorable climate

  • Production of cocoa 300 meters above sea level It can easily reach a height of .
  • Produce: its origin Amazon forests In the form of plants growing under trees.
  • Cocoa Cultivation: It is cultivated under the shade of forest trees or along with other crops (a process known as intercropping).
  • annual rainfall: It receives a minimum of 90-100 mm per month. Rainfall requires 1,500–2,000 mm of annual rainfall.
    • A temperate climate with evenly distributed rainfall is required and irrigation may be required during prolonged dry seasons.

Black Pod Disease

  • It is one of the primary diseases affecting cocoa.
  • it Phytophthora palmivora It is caused by a fungus called (Phytophthora Palmivora).

  • This disease usually monsoon season Happens in.
  • color of infected beans light brown Due to which the quality of cocoa beans deteriorates.
  • Measures for prevention: To prevent black pod disease in cocoa, spraying with 1% Bordeaux mixture is done along with phytosanitation and prophylactic drug.

  • Ideal Temperature: Ideal temperature for its production 15°-39°C In which 25°C temperature is considered important.
  • Favorable Soil: In most cocoa growing areas clay loam and sandy loam soil Is available.
  • Shade Requirements: For cocoa cultivation on a commercial scale, approximately 50% sunlight required it occurs.

cocoa production in india

  • Cocoa is mainly grown in India Karnataka, Kerala and Tamil Nadu It is grown in India and is usually produced as a secondary crop along with areca nut and coconut.
  • favorable environment
    • Cocoa cultivation especially in India coconut and betel nut orchards It is easily done.
    • This environment provides optimum conditions for cocoa production.
  • access to sunlight
    • in the betel nut garden 30-50% sunlight Only reaches the ground.
    • Cocoa plants benefit from this specific amount of sunlight, which aids their growth and production.

Factors affecting cocoa prices

  • climate factors
    • El Nino Influence: The immediate cause of the current problem lies in the West African countries. Ghana and Ivory Coast There is bad weather in the world from where 60% cocoa beans is exported.
    • El Nino caused excess rainfall in West African cocoa growing areas, leading to Black Pod Disease. has spread, resulting in reduced crop yields.
    • International Cocoa Organization Shortage of approximately 3,74,000 tonnes of cocoa beans in the year 2023-2024 While last year there was a deficit of 74,000 tonnes.
    • Climate change: Rising temperatures are causing heat waves, drought and irregular rainfall, making cocoa plants more vulnerable to diseases and environmental events, resulting in yield losses.

  • Economic challenges for farmers
    • Low income of farmers: The income of farmers associated with cocoa production in West Africa is very low, farmers in general Earning less than $1.25 per day As a result, this situation hinders their ability to invest in farms and improve productivity.
      • It is determined by the United Nations Poverty line of $2.15 per day is much less than.
      • As a result, slavery and child labor are widely used in cocoa farming areas and farmers are forced to sell their land to illegal gold miners.
    • Poverty Cycle: The poverty cycle of cocoa farmers is a significant cause of their exploitation, which hinders them from adopting modern agricultural practices or adapting to climate change.
      • According to the report for the year 2023 released by Oxfam, About 90% of farmers in Ghana Unable to afford basic needs like food, clothing, shelter and medical care.
      • A survey was conducted among 400 farmers across the country, the results of which are worrying. Since the year 2020, these farmers 16% decrease in average income While the income of women farmers has seen a decline of about 22%.
      • since the pandemic Financial condition of nine out of ten farmers is bad It is reported to happen.

  • industry practices
    • Lack of Fair Compensation: Major chocolate companies prioritize lowering consumer prices, which is why they make minimal investments in improving the livelihoods of cocoa farmers.
      • Sustainable Farming Challenges: With low incomes and limited resources, cocoa farmers struggle to adopt sustainable farming practices or invest more in the face of climate change.
    • Exploitative Practices: Despite substantial profits, chocolate companies have not adequately addressed the plight of cocoa farmers, resulting in their continued exploitation and poverty.
      • Potential Increase: Unless substantial changes are made to the way the industry operates, cocoa pricing is expected to remain a problem. This could increase exploitation of farmers and potentially increase chocolate prices.

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