Impact of Rising Cocoa Costs on Godiva Chocolate Prices
The price of Godiva chocolates will increase due to rising cocoa costs, which have more than doubled this year. Pladis Foods, the parent company, expects prices to rise globally by high single digits on average. Cocoa shortages from West Africa, climate change, and crop disease are driving the price surge.
Key Points
- Cocoa prices have doubled this year, surpassing $10,000 a ton
- Pladis Foods expects prices to rise by high single digits globally
- Cocoa shortages from West Africa due to climate change and crop disease driving price surge
- Company planning to diversify cocoa sourcing and explore alternative grains
Pros
- Pladis Foods is planning for potential decrease in sales due to price increase
- Looking to diversify cocoa sourcing to mitigate risks
Cons
- Higher prices may lead to some customers stopping purchases