Cocoa Bean Derivatives Market Size - By Type (Cocoa beans, Cocoa butter, Cocoa powder), Category (Organic, Conventional), Application (Food & Beverage, Personal Care), Growth Prospects, Regional Outlook & Global Forecast, 2023 – 2032

Cocoa Bean Derivatives Market Size

Cocoa Bean Derivatives Market size was valued at USD 47.7 billion in 2022 and is estimated to expand at over 3.6% CAGR from 2023 to 2032. The market is a dynamic and vital sector within the global cocoa industry. Derived from the humble cocoa bean, this market encompasses a wide range of products that are essential in various industries, including food, beverages, cosmetics, and pharmaceuticals. At its core, cocoa bean derivatives primarily include cocoa powder, cocoa butter, and cocoa liquor.
 

Cocoa powder is a key ingredient in the production of chocolates, baked goods, and hot beverages, while cocoa butter is widely used in the confectionery and cosmetics industry for its moisturizing properties. Cocoa liquor, on the other hand, serves as the raw material for chocolate production.
 

Emerging markets, particularly in Asia and Latin America, have witnessed an increase in disposable income, leading to a surge in chocolate consumption and creating new opportunities for cocoa derivatives. Additionally, the trend toward healthier indulgences has driven the demand for dark chocolate, rich in cocoa content and associated with various health benefits, further fueling market growth.
 

The cosmetics and personal care industry's use of cocoa butter as a key ingredient in natural skincare products has also contributed to the upward trajectory. However, price volatility in the cocoa market, caused by factors like weather events, diseases, and geopolitical issues, poses a considerable risk to the profitability of cocoa derivatives. Supply chain complexities, especially involving small-scale farmers in developing countries, can create difficulties in ensuring a consistent and high-quality cocoa bean supply.
 

COVID-19 Impact

Initially, the pandemic disrupted supply chains, affecting the cocoa bean derivatives market as transportation and logistics faced disruptions. Cocoa-producing countries, such as those in West Africa, imposed lockdowns and restrictions, which hampered cocoa bean harvesting and processing. Labor shortages and safety measures further exacerbated these supply chain challenges. On the demand side, the market experienced shifts in consumer behaviour. While there was a surge in demand for essential food products during lockdowns, the demand for premium chocolates and non-essential cocoa-based products temporarily declined. Reduced foot traffic in retail outlets and the hospitality industry's struggles impacted the consumption of cocoa derivatives, particularly in higher-end segments.
 

Cocoa Bean Derivatives Market Trends

There is an increasing consumer demand for premium and sustainable chocolate products. As consumers become more discerning, they are seeking high-quality chocolates with unique flavors, single-origin cocoa, and ethical sourcing practices. This trend has led to the proliferation of artisanal and craft chocolate brands, stimulating innovation and diversification in the cocoa derivatives industry. With the changing consumer lifestyles and dietary preferences, the market is witnessing the development of innovative cocoa derivatives for various applications. These include dairy-free and vegan chocolate alternatives, as well as cocoa-infused products in the health and wellness sector, such as cocoa-based supplements and beverages.
 

Cocoa Bean Derivatives Market Analysis

Based on type, the cocoa beans segment dominated around USD 16.6 billion revenue in 2022. Cocoa beans represent the raw material from which all other derivatives are derived. Cocoa beans are primarily traded as commodities and are subject to price fluctuations influenced by factors like weather conditions, crop yields, and geopolitical events. Cocoa butter, renowned for its smooth texture and rich flavor, occupies a significant portion of the market.
 

It is a key ingredient in various confectionery products, cosmetics, and pharmaceuticals, contributing to a substantial market share. The demand for cocoa butter has been fueled by the growth of the cosmetics and personal care industry, as well as the popularity of premium chocolate products.
 

Based on category, the conventional segment accounted for 94% of the cocoa bean derivatives market share in 2022. Conventional cocoa derivatives are derived from cocoa beans that are cultivated using conventional farming practices, which may involve the use of pesticides and synthetic fertilizers. Conventional cocoa derivatives are typically more widely available and have been the preferred choice for many manufacturers due to their lower production costs. Organic cocoa derivatives have been gaining traction and market share due to the increasing consumer demand for products that are environmentally friendly, ethically sourced, and free from synthetic chemicals.
 

Based on application, the food and beverage industry will gain remarkable momentum during the forecast timeline. Cocoa derivatives are fundamental ingredients in the production of chocolate bars, candies, cakes, cookies, and a wide array of cocoa-infused products. This category includes both mass-market and premium chocolates, with the latter often featuring high-quality cocoa derivatives to meet consumer demands for distinctive flavors and premium quality. Moreover, cocoa powder is a crucial ingredient in the preparation of hot chocolate, baking recipes, and cocoa beverages.
 

North America cocoa bean derivatives market size held over USD 14.2 billion in 2022. The United States holds a substantial market share within North America. It boasts a strong appetite for chocolate and cocoa-based products, with a well-established chocolate industry and a highly competitive market. Major chocolate manufacturers and premium chocolate brands are prominent players in the region, driving demand for cocoa beans, cocoa butter, and cocoa powder. The trend toward premium and artisanal chocolates, coupled with the rising awareness of health-conscious consumers, has spurred the use of higher-quality cocoa derivatives in various applications.
 

Cocoa Bean Derivatives Market Share 

Some of the major companies operating in the cocoa bean derivatives industry are:

• Barry Callebaut
• Cargill
• Mondelez International
• Nestlé
• Olam Group
• Indcre SA
• JB Foods Ltd
• Moner Cocoa SA
• Ecuakao Group Ltd.
• Natra SA
• United Cocoa Processor Inc
• Cocoa Touton
• ECOM Agroindustrial
• CEMOI Group
• Ferrero

These players focus on strategic partnerships, new product launch & commercialization for market expansion. Furthermore, these players are heavily investing in research that allows them to introduce innovative products and garner maximum revenue in the market.
 

 

Olam Group is a leading food and agri-business company, supplying food ingredients, feed, and fibre to 20,200 customers worldwide. Olam has operations in over 60 countries and a workforce of over 100,000 employees. The Agri segment sources, processes, and markets raw agricultural commodities, such as cocoa, coffee, cotton, rice, and wood products. Olam also provides commodity financial services to its customers.
 

Cocoa Bean Derivatives Industry News

Two companies from the Reliance group, Reliance Consumer Products (RCPL) and Reliance Retail Ventures (RRVL), have announced to buy Lotus Chocolate shares. Lotus chocolates manufactures cocoa derivatives & other products. Reliance group is going to buy 26% of the company's stake. They plan to buy 33.38 lakh shares at a set price of Rs 115.50 per share.
 

The cocoa bean derivatives market research report includes an in-depth coverage of the industry with estimates & forecast in terms of revenue in USD Million & Kilo Tons from 2018 to 2032, for the following segments:

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Market, By Type

• Cocoa beans
• Cocoa butter
• Cocoa powder
• Other cocoa derivatives

Market, By Category

• Organic
• Conventional

Market, By Application

• Food and Beverages
• Personal care
• Other

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Spain
  • Italy
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • South Korea
  • Indonesia
  • Malaysia 
• Latin America
  • Brazil
  • Mexico
  • Argentina
• Middle East & Africa
  • South Africa
  • Saudi Arabia
  • UAE
  • Egypt