The Cocoa and Drinking Chocolate Production industry process cacao beans and other ingredients to make a powder that can be mixed with a liquid to create a chocolatey beverage. Industry products are distributed to wholesalers, retailers, and other intermediaries for resale to consumers.
The market size of the Cocoa & Drinking Chocolate Production industry in the US is $856.6m in 2019. It is expected to increase to 1.5% in 2019. The industry in the US has grown 0.1% per year on average between 2014 and 2019.
The Cocoa & Drinking Chocolate Production industry in the US remained steady compared to the Consumer Goods and Services sector. The primary negative factor affecting this industry is the world price of cocoa, while the primary positive factor is low revenue volatility.
Drinking chocolate is generally considered a discretionary good. As disposable income levels rise, demand for cocoa, particularly for premium products, increases. However, consumers also indulge in chocolate products in financial downturns, demonstrating the industry’s resilience against economic downfalls. Per capita disposable income is expected to increase in 2018, presenting an opportunity to the industry.