Cocoa butter market in MERCOSUR

Earlier Report Observations

From 2018 to 2019, the cocoa butter market in MERCOSUR expanded, with volume rising from 84.5 thousand tons to 88.0 thousand tons. This growth was supported by an expanding middle class with higher spending on chocolate and personal care products, alongside a continuing trend toward premium consumption.

The initial impact of the COVID-19 pandemic in 2020 caused global supply chain disruptions, but increased demand from the cosmetic and pharmaceutical sectors helped stabilize the market, resulting in a minor decrease to 86.6 thousand tons. A sharp rebound followed in 2021, with market volume jumping to 102.2 thousand tons, largely driven by rising consumer preference for natural and organic products, including organic cocoa butter. However, in 2022, the market contracted to 85.2 thousand tons, reflecting a market adjustment. Growth resumed strongly in 2023, reaching 106.7 thousand tons, fueled by greater consumer awareness of ethical production and sustainability, as well as persistent global supply chain challenges affecting availability.

Throughout the period, the market remained consolidated, dominated by global players like Cargill, Barry Callebaut, and Olam International, which maintained stable supply chains. While no major new entrants or large facility changes were reported in MERCOSUR, consumer demand shifts were the primary market drivers from 2018 to 2023.

Production cocoa butter in MERCOSUR

In kind, 2017-2020, K t

Top producers of cocoa butter, 2017-2020

World map of production of cocoa butter, 2017-2020

MERCOSUR's cocoa butter production has increased for the third consecutive year. In 2020, production reached 101.5 K t, remaining relatively stable compared to 2019. Over the period from 2017 to 2020, production grew by 7.4%, with a compound annual growth rate of 2.4%.

Annual dynamics of production in MERCOSUR in kind, 2017-2020, K t

In value, 2017-2020, M $ US

Following two years of growth, MERCOSUR's cocoa butter production declined in value terms. In 2020, output was valued at 587.0 M $ US, showing little change from 2019. From 2017 to 2020, production increased by 6.5%, with a compound annual growth rate of 2.1%. The highest value was recorded in 2019 at 588.0 M $ US, which also saw the largest increase of 4.4%.

Annual dynamics of production in MERCOSUR in value, 2017-2020, M $ US

Exports cocoa butter from MERCOSUR

Exports in kind, t

After two years of contraction, MERCOSUR's cocoa butter export volumes rebounded. In 2020, exports totaled 23 017 t, marking a significant increase of 11.6% compared to 2019. However, between 2017 and 2020, exports decreased by 23.6%, equivalent to an annualized decline of 8.6%. The lowest volume was recorded in 2019 at 20 617 t, while the largest drop occurred in 2018 at 29.9%.

Annual dynamics of product's exports from MERCOSUR in kind, 2017-2020, t

From 2017 to 2020, the United States, Chile, and the Netherlands were the core destinations for MERCOSUR's cocoa butter exports in kind. The United States accounted for 44.6% of exports, Chile for 11.9%, and the Netherlands for 5.9%. Together, these three countries represented 62.5% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from MERCOSUR in kind, 2017-2020

Exports in value, M $ US

Following a two-year decline, MERCOSUR's cocoa butter export values increased. In 2020, exports stood at 133.0 M $ US, reflecting a substantial rise of 10.9% compared to 2019. Over the period from 2017 to 2020, exports decreased by 24.3%, with a compound annual decline of 8.8%. The lowest value was recorded in 2019 at 120.0 M $ US, and the largest decline occurred in 2018 at 29.8%.

Annual dynamics of product's exports from MERCOSUR in value, 2017-2020, M $ US

From 2017 to 2020, the United States, Chile, and the Netherlands formed the key group of partners for MERCOSUR's cocoa butter exports in value terms. The United States accounted for 45.2% of exports, Chile for 11.6%, and the Netherlands for 6.3%. Collectively, these three countries represented 63.1% of total export flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from MERCOSUR in value, 2017-2020

Imports cocoa butter to MERCOSUR

Imports in kind, t

In 2020, MERCOSUR's cocoa butter import volume amounted to 8 050 t, up by 5.8% compared to 2019. Over the period from 2017 to 2020, imports decreased by 9.7%, with a compound annual decline of 3.4%. The lowest volume was recorded in 2019 at 7 605 t, while the highest was in 2018 at 9 155 t. The largest decline occurred in 2019 at 16.9%.

Annual dynamics of product's imports to MERCOSUR in kind, 2017-2020, t

From 2017 to 2020, Colombia, Côte d'Ivoire, and Peru were the largest suppliers of cocoa butter to MERCOSUR in kind, though their dominance was limited. Colombia accounted for 2.5% of imports, Côte d'Ivoire for 1.4%, and Peru for 1.0%. Together, these three countries represented 4.9% of total imports, with many smaller partners making up the remainder.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to MERCOSUR in kind, 2017-2020

Imports in value, M $ US

In 2020, MERCOSUR imported cocoa butter valued at 48.3 M $ US, representing a moderate increase of 9.0% from 2019. Over the period from 2017 to 2020, imports decreased by 7.8%, with a compound annual decline of 2.7%. The lowest value was recorded in 2019 at 44.3 M $ US, while the highest was in 2018 at 54.6 M $ US. The largest decline occurred in 2019 at 18.9%.

Annual dynamics of product's imports to MERCOSUR in value, 2017-2020, M $ US

From 2017 to 2020, MERCOSUR's cocoa butter imports in value terms were not heavily concentrated. Colombia accounted for 2.6% of imports, Côte d'Ivoire for 1.2%, and Peru for 1.1%. Together, these three countries captured only 5.0% of total import flows, indicating a diverse range of suppliers.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to MERCOSUR in value, 2017-2020