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Candy Price Increase

FOR IMMEDIATE RELEASE
CANDY PRICES TO INCREASE

Price of Chocolate and Non-Chocolate Candy Items to Climb due to Cocoa Bean and Sugar Shortage

Philadelphia, PA, May 2nd, 2011… The cost of both chocolate and non-chocolate candy in the United States is going up. Customers are being asked to pay special attention to the spike in pricing and adjust their retail accordingly.

Due to a multitude of reasons, namely social and political unrest in North Africa’s Ivory Coast region and an overall shortage in raw materials such as cocoa beans and sugar, chocolate prices have jumped to 30-year industry highs. The Ivory Coast region, the world’s largest exporter of Cocoa, has been suffering significant tension and upheaval throughout their country’s infrastructure. As a result, the supply and demand of cocoa beans and other raw materials, such as wheat and canola oil, have become proportionally unbalanced. The disruption in supply has forced major suppliers like Hershey, Nestle, and MARS to raise their prices. Competitors of these two companies, both big and small, are expected to make similar reforms to their pricing structure shortly.

Contributing to increased pricing in non-chocolate confectionary production is a simultaneous increase in the price of sugar and flour. Combining a drop in home-grown sugar with government caps on imports of raw materials essential to the production of chocolate and candy, the result is less sugar on the domestic market and higher prices. Prices are expected to increase anywhere between 8% to 13% respectively.

Contact:
Allen Brothers Wholesale Distribution
Email: info@abdelivers.com
Phone: 800-207-2553

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