Brazil chocolate market grows in production and exports

The Brazilian chocolate market is currently experiencing a surge of good luck characterized by production, exports, and job creation growth. According to a socioeconomic report commissioned by the government, the chocolate industry accounts for approximately 23,000 direct jobs in Brazil.

A recent survey conducted by the Brazilian Association of the Chocolate, Peanut, and Candy Industry (Abicab), in collaboration with KPMG Consulting, reveals a 9.8% increase in chocolate production during the first quarter of 2023 compared to the same period last year, amounting to 219 thousand tonnes. In 2022, production reached 760 thousand tonnes, reflecting an 8% expansion compared to 2021.

Abicab’s press office highlights that Brazil is among the few countries with a fully integrated chocolate production chain, spanning from cocoa bean cultivation to manufacturing the end product. This seamless integration allows for high-quality production, which is highly valued by domestic and international consumers.

Exports

In terms of exports, Brazil is internationally recognized as a producer of high-quality chocolates, with its products reaching 135 countries, notably Argentina, Chile, and Paraguay. In 2022, exports totaled 35.8 thousand tonnes, equivalent to US$ 141.3 million. During the first half of 2023, 17.5 thousand tonnes have already been exported, amounting to US$ 71.8 million.

Furthermore, a study conducted by the Kantar Institute’s Worldpanel division, commissioned by Abicab, indicates a 16.2% revenue growth in the chocolate sector in 2022 compared to the previous year.

See Brazil’s exports of chocolate products (hs codes 1800-1806) measured in TEUs from Jan 2019 to May 2023. The data is from DataLiner.

Brazil chocolate exports | Jan 2019 – May 2023 | TEU

Source: DataLiner (click here to request a demo)

Cocoa beans

The president of the National Association of Cocoa Producers (ANPC), Vanuza Lima Barroso, has explained that the cocoa market has been in crisis since the 1980s when crops in Bahia were devastated by the witches’ broom disease.

According to Vanuza, domestic producers face a major issue with “unnecessary” imports of cocoa beans by the industry. The association is actively working to curb these imports due to risks associated with pests and diseases that are not present in Brazil. Additionally, importing allows the industry to manipulate the price of Brazilian cocoa beans.

Brazil is currently the only South American country producing cocoa products and successfully supplying the South American market with cocoa butter and powder. Countries that import cocoa products from Brazil include Argentina, Chile, Uruguay, the United States, and Canada. Brazil is a major player in the cocoa derivatives market, with all imported cocoa products destined for international markets.

The volume of imports depends on crop yields within the country. In a particularly good harvest year with a production of 200,000 tonnes, 11,000 tonnes were imported. However, there have been instances where imports reached as high as 60,000 tonnes. As of 2023, 30,000 tonnes have already been imported.

Source: Agência Brasil

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