Market Trends of Industrial Chocolate Industry
This section covers the major market trends shaping the Industrial Chocolate Market according to our research experts:
Increasing Consumption of Dark Chocolates Owing to Health Benefits
Dark chocolate in particular contains potent antioxidants. Epicatechin, a flavonol, is one of the most advantageous. Plants contain substances called flavonols that reduce inflammation and guard against free radical-induced cell damage. More healthy flavonols are present in chocolate with a higher cocoa concentration.
Most of the advantages identified by various studies are connected to chocolate that contains at least 70% cacao. Research suggests sticking to dark chocolate with minimal processing and at least 70% cacao as a daily pleasure. Also, according to a study published in the journal Appetite, those who ate chocolate, including dark chocolate, at least once a week had a lower prevalence of diabetes and were at a lower risk of diabetes four to five years later. The study of 908 nondiabetic adults and 45 diabetics revealed that people who ate such chocolate less than once per week had twice the risk of diabetes as those who ate it more than once per week.
Owing to such benefits associated with dark chocolates, the consumers are inclining toward dark chocolates claimed products, and to cater to the demand the major end-user industries like confectionery, bakery industries are investing in their R&D and introducing chocolates and cookies with high cocoa concentration which in turn is increasing the demand of industrial chocolates and thereby boasting their market.
Asia-Pacific is the Fastest Growing Region
Asia's chocolate consumption is rapidly increasing, providing the mature industry with an appealing and largely untouched market. Furthermore, Asia has quickly assumed a significant role in chocolate production. Following Ghana and Ivory Coast, Indonesia has climbed to become the world's third-largest cocoa producer. Many corporations, including Mars in Vietnam and Cadbury in Singapore, have chocolate operations in the region. Many are also looking to expand their operations in Asia to meet the rising demand. For instance, in 2020, Cargill partnered with a local manufacturer in India to open its first chocolate manufacturing operation in Asia. The facility began operating in mid-2021 and initially produces 10,000 tons of chocolate compounds.
According to a NASDAQ article, cocoa demand is likely to rebound in 2022, driven by expansion in Asia. According to their study, cocoa bean processing in Asia is expected to increase to around 900,000 tonnes in 2022, up from around 820,000 tonnes the previous year, when supply interruption and lower consumption due to the COVID-19 epidemic curtailed demand. Also, according to the International Cocoa Organization (ICCO), bean processing in Asia is higher than it was before the pandemic, and Asia's second-quarter cocoa grind increased by 3.6% year on year to 228,895 tonnes, according to figures from the Cocoa Association of Asia.
