15 Mar 2024 --- Record-high cocoa prices are pushing chocolate makers to increase consumer product prices and reduce product size, fueling the so-called “shrinkflation” trend. In his State of the Union Address last week, US President Joe Biden called out brands for using “shrinkflation” tactics amid a cost-of-living crisis, but market analysts expect cocoa prices to continue rising as demand for ever-popular chocolate treats remains strong. El Niño weather patterns have flooded West Africa’s cocoa-growing region with torrential rains, causing a cocoa production shortfall and a ripple effect in markets. Cocoa prices have been rising sharply for several months and hit US$7,846 per metric ton today — roughly 200% more than March 2023.
