Organic Cocoa Market Size

Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

The organic cocoa market is expected to be valued at approximately $ 6.03 billion in 2023, and is projected to reach $ 10.01 billion by 2032, growing at a CAGR of 5.89% between 2024 and 2032. This growth is based on the increasing demand for organic cocoa, owing to the growing awareness of the benefits of organic cocoa, its organic and sustainable origin, and its ethical exploitation. As consumers are increasingly demanding organic and sustainable ingredients, the organic cocoa market is expected to grow significantly in the coming years. This growth is mainly driven by the increasing popularity of organic foods, the growing number of vegetarians and health-conscious consumers, and technological innovations in cocoa production that improve the quality and flavor of cocoa products. The major players in the organic cocoa industry, such as Barry Callebaut, Cargill and Olam International, are investing in strategic alliances, such as the establishment of sustainable farming practices, in order to strengthen their market presence. Product launches, aimed at meeting the growing demand for organic and fair trade cocoa, are also driving the organic cocoa market.

Regional Market Size

Regional Deep Dive

The Organic Cocoa Market is experiencing a high growth in different regions, driven by rising demand for organic products, increasing concerns over the environment and rising health consciousness. In North America and Europe, the market is characterized by a strong preference for organic and ethically sourced ingredients, while in Asia-Pacific the awareness and consumption of organic cocoa products is growing. The Middle East and Africa offer unique opportunities, given their rich agricultural history, while Latin America continues to be the major producer of organic cocoa, taking advantage of its favorable climate and rich biodiversity. The overall market is shaped by evolving consumer preferences, regulatory frameworks and innovations in production and processing methods.

Europe

• Europe is witnessing a surge in demand for organic cocoa, particularly in the confectionery and bakery sectors, with companies like Lindt & Sprüngli investing heavily in sustainable sourcing initiatives.
• The European Union's Green Deal and Farm to Fork strategy are promoting organic farming practices, which are expected to significantly boost the organic cocoa market by encouraging more farmers to transition to organic methods.

Asia Pacific

• Countries like Indonesia and the Philippines are emerging as key players in the organic cocoa market, with local governments supporting organic farming through initiatives like the Organic Agriculture Act in the Philippines.
• The growing trend of health-conscious consumers in Asia-Pacific is driving innovation in organic cocoa products, with brands introducing organic cocoa powders and beverages that cater to this demographic.

Latin America

• Latin America remains a powerhouse in organic cocoa production, with countries like Ecuador leading the way in exporting high-quality organic cocoa beans to global markets.
• Local cooperatives, such as the Ecuadorian Cocoa Exporters Association, are playing a crucial role in promoting organic farming practices and ensuring fair trade for farmers, which is expected to enhance the region's market position.

North America

• The rise of plant-based diets has led to an increased demand for organic cocoa in North America, with companies like Alter Eco and Theo Chocolate leading the charge in offering organic and fair-trade products.
• Recent regulatory changes, such as the USDA's stricter organic certification standards, are pushing producers to enhance their practices, ensuring higher quality and sustainability in organic cocoa production.

Middle East And Africa

• In Africa, countries like Ghana and Ivory Coast are focusing on organic cocoa production as a means to enhance sustainability and improve farmers' livelihoods, supported by organizations like Fairtrade International.
• The Middle East is seeing a rise in gourmet chocolate brands that emphasize organic and ethically sourced cocoa, reflecting a shift in consumer preferences towards premium and sustainable products.

Did You Know?

“Did you know that organic cocoa farming can increase biodiversity on farms, as it often involves intercropping with other plants, which helps to create a more resilient ecosystem?” — International Cocoa Organization

Segmental Market Size

The organic cocoa market is booming, driven by the increasing demand for sustainable and ethically sourced products. The health benefits of organic foods and the shift towards sustainable farming practices are the main driving forces behind this growth. Regulators are also driving demand, particularly in Europe and North America, where consumers are more willing to pay a premium for organic certifications. Organic cocoa is now a mature market, with brands such as Divine and Alter Eco leading the way in sustainable sourcing practices. Several companies are now incorporating organic cocoa into their products to meet consumer demand. The increasing popularity of plant-based diets and the sustainable cocoa trend are also driving the growth of this market. The development of new technology, such as blockchain for traceability and precision agriculture for improved crop yields, is also helping to shape the future of the organic cocoa market.

Future Outlook

The organic cocoa market is projected to grow at a CAGR of 5.89% from 2023 to 2032. The growth will be mainly due to the growing demand for organic and sustainable products, resulting from the growing concern for health among consumers. The share of organic cocoa in the cocoa market is expected to increase, and it is estimated that in 2032, organic cocoa will represent approximately 15% of the total cocoa market, up from 8% in 2023. The awareness of the social and environmental impact of conventional cocoa production will encourage consumers and manufacturers to seek organic alternatives. Further growth will be driven by key technological developments and favourable government policies. Agroforestry and integrated pest management are two of the most promising sustainable farming practices that have the potential to improve yields and quality, and reduce the environmental impact of cocoa production. In addition, government initiatives promoting organic agriculture and fair trade practices will create a more favourable regulatory environment for organic cocoa producers. Also driving the market will be the increasing popularity of plant-based diets and premium chocolate products. The market will continue to evolve, and the companies that adapt to these trends and invest in sustainable practices will be well placed to take advantage of the growing opportunities in the organic cocoa sector.