How The Climate Change Is Destroying The Chocolate Industry
There is a global shortage of one of the world’s most popular commodities. As a result, prices are rising and many manufacturers are relying on ‘shrinkflation’ to keep the price of their products level. Hershey’s, Cadbury and Milka have all reduced the size of products to avoid passing costs on to consumers.
Climate Crisis
While the global cost-of-living crisis and rising fertilizer prices are adding to price fluctuations, the overarching problem remains one of supply and the constraints on the global chocolate pipeline are largely a result of the climate crisis which is affecting yields.
The best ecosystem for cocoa trees is rainforest. The vast majority of the world`s cocoa is produced by farmers who have less than five acres of land.
Typically, commercial cocoa crops are grown within 10° north and south of the equator. The world’s leading producers are Côte d’Ivoire, Ghana, and Indonesia. Côte d’Ivoire and Ghana produce over half of the world’s chocolate. And the best ecosystem for cocoa trees is rainforest. The vast majority of the world’s cocoa is produced by farmers who have less than five acres of land.
It streesed that without fundamental changes, cocoa growing countries in West Africa will experience a 3.8°F (2.1°C) increase in temperature by 2050, leading to a marked reduction in suitable cocoa cultivation areas.
The report used data from a 2011 paper by Peter Läderach which reported that as ecosystems change due to higher temperatures, forested areas in higher ground will become more suitable for cocoa cultivation. One example given is Ghana’s Atewa Range which is a forest preserve where farming is banned. The report concluded that cacao-growing countries may have to choose between growing cocoa or preserving natural habitat.