Global cocoa prices remain near record highs and may still rise, leaving South African consumers unlikely to find cheaper chocolates this year.
According to BusinessTech, while South Africa’s overall inflation remains within the Reserve Bank’s 3% to 6% target range, food and non-alcoholic beverage inflation rose to 4.0% in April 2025.
Within that category, sugar, confectionery, and desserts saw sharper increases, rising 5.6% year-on-year. Chocolate prices alone jumped 6%.
Over a longer period, the increases are even more striking. A standard chocolate slab now costs nearly 27% more than it did in 2023, while the price of a chocolate bar has gone up 18.6%.
Global cocoa prices reach historic highs
Soaring global cocoa prices, which have increased by almost 300% in the past year, have directly driven the surge in chocolate prices.
Cocoa reached a record high of $12 565 per metric tonne in December 2024.
Extreme weather and disease have devastated cocoa crops in Ghana and the Ivory Coast, driving the spike in prices.
The two countries together produce about two-thirds of the world’s cocoa.
Although exports from the Ivory Coast briefly increased earlier this year, easing prices, the government has since warned of tighter supply, which reversed the trend.
Now, concerns over the quality of the ongoing mid-crop are driving prices higher again.
Reuters analysts report that cocoa processors are rejecting truckloads of beans due to poor quality.
Cocoa processors reject about 5% to 6% of mid-crop deliveries, compared to just 1% during the main crop.
Erratic rainfall has caused the drop in quality and could cause yields to fall 9% from 2024 levels.
Producers brace for more price hikes
Major chocolate manufacturers, including Mondelez International which owns Cadbury and Oreo have acknowledged the price strain.
The company flagged “unprecedented cocoa cost inflation” in recent forecasts and warned that more price increases may be necessary if prices remain high.
Nestlé and other global producers have also hinted at future price increases due to cocoa shortages and rising input costs.
Tiger Brands looks to exit chocolate business
Tiger Brands owner of Beacon and South Africa’s popular marshmallow Easter eggs is looking to sell its chocolate division, citing decades of underinvestment and limited strategic focus.
The group admitted it had failed to keep pace with competitors like Cadbury and acknowledged it had not actively engaged with the brand or updated its technology in over 30 years.
Tiger Brands will support Beacon until it finds a suitable buyer but believes new ownership could improve the brand’s performance.
Do you think South Africa’s chocolate prices will keep rising, or is there hope for relief soon?
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