Easter candy prices this year could be impacted by the costs of some raw materials.
The cocoa prices have almost doubled since the start of 2024, according to The Associated Press. Part of the reason is due to rising temperatures and weather conditions in West Africa. West Africa is where more than 70% of the global cocoa supply comes from.
“The true cost of chocolate has not been seen by consumers for a long time,” said Emily Stone, founder of specialty cocoa dealer Uncommon Cacao, according to Bloomberg. “Persistent low prices to producers and climate change are driving the market up to these heights. Now, that comes as a shock to some, but this was predictable.”
In addition to surging cocoa prices, sugar prices are going up too. The amount of sugar per pound has gone up around 8% this year. In 2023, it rose 2.7%, the AP reported.
Chocolate companies like Lindt & Sprüngli announced earlier this month that they would have to raise prices this year due to the costs of raw materials, Bloomberg reported. Hershey’s and Cadbury maker Mondelez and have reportedly been passing the rising sugar prices to its customers, the AP reported. Hershey raised its prices on its products last year during inflation and is expected to do some on some items this year as well.
The costs of cocoa could impact other holidays this year like Halloween and Christmas, Bloomberg reported.
However, the U.S. National Confectioners Association is still expecting about 92% of Americans who celebrate the Easter holiday to buy candy and chocolate this year. The Easter holiday season is expected to accumulate over $5 billion in confectionary sales.
“The Easter season signals the start of spring – and is a perfect showcase of the continued excitement consumers have for incorporating chocolate and candy into their special occasions. No matter what treats they prefer, Americans can agree that every celebration is sweeter with chocolate and candy,” the U.S. National Confectioners Association said.
The National Retail Federation expects there to be a drop in Easter candy and chocolate spending this year and is expected to spend about $3.1 billion on candy, according to the AP.
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