Cocoa prices have risen faster in the last 90-days than ever before. That means the price of chocolate is destined to rise. The impact hits local chocolatiers in different ways, mostly depending on the size of the company.
Dan Abel, vice-president of operations at St. Louis' Chocolate Chocolate Chocolate and Bissinger's, says cocoa prices typically have been between $2,500 to $3,500 per metric ton. It just hit $10,000.
Hear Debbie Monterrey's chat with Dan Abel here:
Abel says they heard enough chatter about prices that they contracted for 12-months, longer than they usually do. And it was a good thing they did because the price is now three times higher than when they signed their deal.
That said, the new cocoa crop gets harvested in October. He says cocoa comes from West Africa as it can only be grown in a small area around the equator. Fingers crossed for a good cocoa season.
With that meteoric rise in cocoa prices, Abel expects prices for chocolate products could rise up to 20%.
