Overview

• Cocoa prices have surged to a record $10,000 per ton on the New York Mercantile Exchange, driven by poor harvests in major producing countries and a global cocoa deficit estimated between 300,000-500,000 tons.
• Colombian farmers, historically engaged in coca cultivation, are transitioning to cocoa as international buyers seek alternatives, boosting the local economy and offering a path away from illicit crops.
• Despite the price hike, the increase in cocoa costs is not expected to significantly impact chocolate prices for consumers, with calculations suggesting only a minor rise in costs for chocolate products.
• The surge in cocoa prices presents an opportunity for Colombian farmers to invest in sustainable practices and organic certification, aligning with global demand for high-quality, ethically produced cocoa.
• Government initiatives in Colombia, alongside international aid, are supporting the transition from coca to cocoa cultivation, aiming to improve living conditions in rural areas and contribute to peace efforts.