The market for cocoa and chocolate is one of the biggest food sectors in the world, and it shows no sign of becoming less relevant in the near future. In 2023, the market was valued at approximately $16 billion and is expected to grow by 7% per year to achieve the $22 billion milestone in 2028. The global industrial chocolate market is also predicted to grow at an average yearly rate of about 4.4% until 2030. Production is dominated by Africa, where 75% of all cocoa is produced, with Ghana and Cote d’Ivoire alone responsible for almost 60% of the global production. Many of the largest international hubs for cocoa trade are located in Europe, most notably in Belgium and the Netherlands, 45% and 43%, respectively.
As with all other food industries, the cocoa sector is also changing, and there are several issues it has to deal with. Low income and unethical practices, the use of pesticides, deforestation, and climate change are the most pressing concerns, with companies having to become compliant with sustainability and ethical standards if they want to remain operational. One of the solutions is the integration of technology, but it’s imperative for the solutions to be relevant and target these issues in a timely fashion so that they can be remedied.
Automated harvesting
Working with a cocoa company that can provide you with all types of ingredients, ranging from cocoa liquor to powder, beans, butter, and specialty fats that are designed in response to the needs of the confectionery and snack markets, allows you to reach a global audience, grow your engagement rates and boost sales. It is essential to work with a brand that is aware of how labor-intensive the harvesting process can be and takes steps to ensure that employees benefit from ideal work conditions. The traditional methods typically include manual harvesting, but technology is set to revolutionize harvesting forever.
Automation is being introduced, and it could simplify the laborious husking process, as the machine handles ripe pods and leaves the husks on the field to return nutrients to the soil. The process is also much more efficient when technology is involved and could potentially advance production methods overall.
Empowering farmers
Making the entire process more sustainable and reliable means starting from the foundation, and empowering farmers is a central aspect of this. Technology integration could manage and solve several issues, including weather-related risks, environmental troubles, and degradation, as well as marketing, transport, and storage solutions. Digital agriculture could deal with these risks and find solutions that alleviate their effects. Also referred to as smart farming, this concept integrates tools that can collect and examine data and information pertaining to agriculture. The farmers who use tech devices such as laptops, tablets, and smartphones benefit from a technical, economic, environmental, and agronomical perspective, highlighting how multifaceted the scope of a single digital device can be.
Yet, several challenges remain, especially for smaller farmers who might not be able to afford digital solutions due to the elevated investments. The solution would be for the larger companies and market participants to invest in programs that not only raise awareness but also aim to collect funds in order to minimize operational costs and give farmers the opportunity to get the necessary training that lets them develop their digital skills.
Customized solutions
As the tech sector continues to develop, more and more digital solutions arrive, but not all of them are appropriate for all enterprises. Business growth can only be supported through the integration of customized solutions. So, it’s essential to determine what your business needs and which are the areas where you could become more efficient. You might want to improve production rates, ensure better traceability, or improve online buying tools. For instance, if you work with a nuts supplier, you should pick someone who can deliver a personalized experience for your brand. There are special programs that are committed to improving the quality of seeds as well as boosting sustainability that you can join, and farm technology can be integrated to protect soil health and minimize the amount of waste produced on a daily basis.
Satellite imagery can be combined with data accumulated over time and field surveys in order to predict weather and temperature patterns, choose the best times for planting, and check the state of the crops. Having all this data will naturally allow you to make more accurate decisions since you’re working with objective information and analysis rather than just going with your gut feeling, which can make you miss the mark sometimes. It’s also crucial to remain realistic with your expectations. For instance, if you’ve used paper-based traceability so far, making an immediate switch to artificial intelligence, IoT, and blockchain will not make logical sense. It’s better and more financially sound to take a smaller step first and become familiar with how it operates before making a larger investment.
Sustainability
Sustainability has become a genuine policy for businesses and industry sectors from all over the world and is no longer a buzzword used to attract clients’ attention. Those who aren’t actually committed to creating a better future are more likely than not to be accused of greenwashing by customers who do their research to determine which brands they need to shop from. Robotics and automation make work faster and less convoluted for human employees and improve sustainability at the same time. Computerized systems are able to reduce transportation times and fuel consumption by analyzing different routes and determining which is the most efficient.
The use of real-time data analytics will enhance inventory and management, reducing the need for excess stock. This streamlines logistics and guarantees that you won’t waste money. The environmental footprint associated with your business will also decrease as you escape the pitfalls of overproduction and deadstock.
The cocoa sector continues to grow and expand every year, meaning that producers must find ways to keep up with the market trends. In today’s fast-paced market, the only way to do that is through the integration of tech developments that can take your business further and ensure you remain profitable.
