Cocoa Derivatives Market Research Report and Outlook by 2028

The cocoa derivatives market is projected to expand from US$ 27,807.13 million in 2022 to US$ 37,799.86 million by 2028, reflecting a compound annual growth rate (CAGR) of 5.3% during this period.

Cocoa derivatives encompass a range of products obtained from cocoa processing, including cocoa beans, cocoa butter, and cocoa powder. The utilization of cocoa in various beverages and confectionery items, such as milkshakes, cakes, croissants, and hot cocoa, has seen a significant rise. This surge in cocoa-based confections is particularly notable in both developed and developing markets, driven by increased consumer expenditure on indulgent treats, especially those made with chocolate. The growing trend of molded and countline chocolates has further fueled this demand. Additionally, leading manufacturers are diversifying their offerings by introducing new chocolate varieties, including dark chocolate and ruby chocolate. For instance, in February 2022, Hershey's launched the limited-edition "Celebrate SHE" cocoa-based bars to honor women and girls, emphasizing the word "SHE" prominently on the milk cocoa bar. Such innovative product launches are expected to further propel the cocoa derivatives market forward.

A significant trend in the market is the increasing demand for clean-label products, with consumers showing a preference for transparency in labeling. For example, when companies highlight the natural fruit or vegetable content on packaging, it tends to attract more consumers. In response, manufacturers are minimizing the use of chemical additives like emulsifiers and preservatives in their cocoa products. Many are opting for healthier alternatives, such as sunflower lecithin, to align with clean-label standards. According to the Global Clean Label Consumer Study 2019 by Ingredion, 78% of surveyed consumers indicated that knowing the ingredients before making a purchase is crucial. Furthermore, the Institute of Food Technologists reported that over 50% of product launches globally in 2018 featured clean labels.

The cocoa derivatives market is categorized by product type into cocoa butter, cocoa beans, cocoa powder, and others. In 2021, cocoa beans represented the largest market share, while cocoa powder is anticipated to experience the highest growth rate from 2022 to 2028. Cocoa beans, which are oval and dark brown, are known for their fiber content that aids digestion. Although they have a bitter taste, they are often consumed raw, but primarily ground to produce chocolate. The fiber in cocoa beans contributes to softer bowel movements and can help prevent hemorrhoids, along with assisting in various digestive issues. Additionally, cocoa is rich in heart-healthy flavonoids, which are associated with improved cardiovascular health.

Regionally, the cocoa derivatives market is divided into North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South & Central America. Europe dominated the market in 2021, while the Asia Pacific region is expected to witness the highest CAGR from 2022 to 2028. The growth in this region is largely due to the rising popularity of gourmet chocolates among European consumers. Consequently, premium chocolate brands are actively seeking ways to differentiate their products and are focusing on sourcing single-estate cocoa. This has led to an increased demand for high-quality cocoa and unique single-origin cocoa flavors. For example, Valrhona Inc., a leading chocolate producer based in France, sources cocoa beans from the Maria Trinidad Sanchez estate, known for its single-origin cocoa. Additionally, the growing consumer focus on health and wellness is driving the demand for high-quality cocoa derivatives, including cocoa butter, cocoa powder, and cocoa beans.

Key players in the cocoa derivatives market include Olam Group Ltd, Indcre SA, Cargill Inc, Natra SA, JB Foods Ltd, Ecuakao Group Ltd, United Cocoa Processor Inc, Barry Callebaut AG, Moner Cocoa SA, and Alt?nmarka G?da San ve Tic AS. These companies are committed to developing innovative and cost-effective products to meet the evolving demands of consumers and to enhance their market presence.

The overall cocoa derivatives market size has been determined through a combination of primary and secondary research methods. The research process began with extensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data about the market. Additionally, numerous primary interviews were conducted with industry stakeholders to validate the findings and gain deeper insights. Participants included VPs, business development managers, market intelligence managers, national sales managers, and external consultants such as valuation experts, research analysts, and key opinion leaders specializing in the cocoa derivatives sector.