The cocoa futures contract for May delivery surged to an all-time intraday high of $10,080 per metric ton Tuesday.
Major chocolate companies have been using hedging strategies to manage the price volatility and avoid passing on higher prices to consumers.
But consumers could start to feel the effect as West Africa faces systemic issues that have led to a historic supply deficit with no easy solutions.
The world is facing the largest cocoa supply deficit in more than 60 years and consumers could start to see the effect at the end of this year or early 2025, Joules said. The International Cocoa Organization has forecast a supply deficit of 374,000 tons for the 2023-24 season, a 405% increase from a deficit of 74,000 tons in the previous season.
“The worst is still yet to come,” Joules said. Cocoa prices will likely remain elevated for some time because there are no easy fixes to the systemic issues facing the market, he said.
Buy a ton of bulk cocoa powder. It's still cheap and keeps well. Keep it in the freezer, in something airtight and it'll last even longer.
Make your own chocolate, with your own cocoa powder. Here's a recipe - it's my invention based on some ideas I found online. I love the taste, but it is a little different from regular chocolate. Probably using cocoa butter would be better than coconut oil, but it still works very well. I actually don't eat it anymore, since I've gone carnivore.
It's a good strategy to make your own chocolate, even before the price spikes. It makes you appreciate it more, and eat it less, because you've made it yourself.
In small metal bowl
50 g coconut oil)
(start melting over double boiler (small pot))
In another bowl, measure
1/8 teaspoon salt
30 g cocoa powder
30 g dried milk powder (whole milk, can use Nido brand)
50 g powdered sugar
Mix the powder well
Stir into the melted coconut oil
Pour into 2 silicone chocolate bar molds (you can buy these cheap on Temu or Amazon)
KEY POINTS