Chocolate prices set to remain high this Halloween in the US, report says

U.S. chocolate consumers will face elevated chocolate prices this coming Halloween period as cocoa costs have more than doubled since early 2024, according to a report released on Thursday by Wells Fargo's Agri-Food Institute.

While wholesale cocoa prices have eased from late 2024 peaks, manufacturers are still passing on to consumers their increased costs. Companies are also reducing seasonal product lines and implementing “shrinkflation” – reducing portion sizes while maintaining prices, the report said.

The surge in cocoa costs was caused by severe supply disruptions in West Africa, which accounts for approximately 70% of global cocoa production. Heavy rains in late 2023 triggered black pod disease and crop rot, while subsequent El Nino-induced droughts in 2024 increased the prevalence of cocoa swollen shoot virus disease.

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