With Easter just days away, international supply chain problems could be hitting closer to home, especially for the Easter Bunny.
A growing shortage in the global cocoa supply is driving up prices for chocolatiers across the Central Coast.
According to research from Harvard University, West Africa is responsible for about 70% of the world’s cocoa supply and is currently facing a bean deficit. The combination of climate-related challenges, economic uncertainty and dwindling generational interest in cocoa farming has triggered a ripple effect across the industry.
“It’s all hands on deck right now,” said Ben Taylor, proprietor of several candy shops, including Mama Ganache in San Luis Obispo, Reimer’s in Avila Beach, the Swedish Candy Factory in Solvang, and Stafford’s Chocolates in the Central Valley.
Taylor said this Easter season has brought mixed results for business. While Valentine’s Day performed well, the December holiday season proved more unpredictable.
“Sales have been up and down,” Taylor said. “People are kind of waiting to see what’s happening with all the political uncertainty, but I can’t complain. I know a lot of people are struggling right now, so we’re just trying to keep up the momentum that usually comes from the holidays.”
Taylor said tariffs have been on his radar, but it’s the global cocoa crisis that has posed the biggest challenge.
“Demand is higher than it’s ever been, and the supply is about half of what we need,” he said. “I’ve seen my largest chocolate prices go up two to three times as much.”
He attributes the crisis to several factors: climate change, market instability and socioeconomic unrest happening in West Africa.
“People are going out and tearing up cocoa farms,” he said. “There’s a lot happening there.”
Some hope may be on the horizon. Taylor said countries in Central America are beginning to ramp up cocoa production in an effort to close the gap, though it may take years before new farms yield results.
“So hopefully it should be settled in a couple of years once they get their production up,” Taylor said. “But for now, we just need more cocoa or chocolate.”
As wholesale chocolate costs rise, Taylor said his shops have had to raise retail prices, but carefully.
“I tried not to for a long time,” he said. “The margins aren’t what they used to be, but I also don’t want to outprice our customers. It’s about making it fair for everybody.”
Still, Easter remains one of the busiest times of the year.
“We really ramp up production,” Taylor said. “We’re doing two, three, even four times batches of certain things because it all sells out the door pretty quickly.”
For many families, a chocolate bunny remains a staple in the Easter basket.
“We see the same families over and over,” Taylor said. “It’s good to see their faces and make a connection with them.”