Top Challenges in the Chocolate Manufacturing Industry


Top Challenges in the Chocolate Manufacturing Industry

Chocolate is one of the most famous flavors in the world. Cocoa is an essential ingredient in the manufacture of chocolate, but cases of forced labor have been reported in recent years. Chocolate confectionery retailers and manufacturers today face many challenges that complicate the production of chocolate.

Increase in the cost of raw materials

There has also been an increase in the cost of raw materials, significant pressure and government regulation. In 2015, there was inflation where the cost of raw materials skyrocketed to record highs.

Chocolate remains one of the best consumer goods in the world. It continues to innovate even when other products become obsolete. This is a great time for the chocolate manufacturing industry to flourish, but it is also going through many challenges. Organizations are dealing with these challenges slowly and expecting lower environmental growth for some time.

Increase in the number of competitions

New snacks also provide stiff competition to the chocolate manufacturing industry. There are also negative chocolate concerns that are dragging down sales in North America and Western Europe. The introduction of new snacks like nuts and energy bars has attracted a large audience in search of healthier confectionery alternatives.

These products are in the market to stay and will stagnate the chocolate manufacturing industry. Another big threat to the chocolate manufacturing industry is a limited market in Asia and the Middle East. Chocolate exceeds the price of most products in these regions, explaining why they are in short supply. Chocolate is mostly the norm with the upper and middle classes of these countries. Manufacturers should counter this problem by creating local manufacturing facilities and lowering the price of bars.

chocolate machines producing sweet food products in a factory

Declining yield for cocoa farmers

Yields on most cocoa farms are low due to outdated practices. Poor farmers are now experiencing mild droughts and strange weather conditions. The deadly virus called CSSV is also a massive threat to the cocoa industry. After contracting this virus, trees cannot be cured and most are cut down. This contributes significantly to the reduction in production.

Experts have made good progress in detecting the virus in its early stages and in planting forest trees near cocoa plantations. Deforestation is a cause and an effect of climate change. Poor cocoa farmers cut many trees for a living, causing deforestation. Organizations are taking concrete steps to ensure reforestation.

Child labor controversy

West Africa is the largest producer of cocoa and has experienced many cases of child labor. Most cocoa farmers are poor and have no labor costs. Cocoa also needs seasonal labor and most households depend on children. The work performed by children involves hazardous tasks like sometimes carrying heavy loads, which is why this industry faces low returns.

Lack of access to financial services and low financial literacy are significant barriers faced by cocoa farmers, which affect the chocolate manufacturing industry. Lack of adequate funding degrades training, reducing chances of upgrading to better farming practices.

Health Benefits of Chocolates

Chocolate is made from cocoa beans and is a popular product around the world. It receives a lot of negative praise due to its high sugar and fat content, and its use is associated with obesity, high blood pressure, and acne.

Research has indicated that chocolate consumption helps lower cholesterol levels and prevent cognitive decline. It is believed that having two cups of hot chocolate a day keeps the brain healthy and reduces memory decline. Consider buying bar bean machines to start with these health benefits.

Chocolate consumption also reduces the risk of heart disease and lowers the risk of cardiometabolic disease. Pregnant women are also advised to take an ounce of chocolate a day to promote the development and growth of the fetus.

Final Thoughts

Chocolate is a common commodity in the global market, but faces significant challenges today. The chocolate manufacturing industry offers ways to deal with these issues, and the article above has outlined a few of them. Please contact us for more information.


Comments are closed.