Cocoa butter market in South America

Earlier Report Observations

The cocoa butter market in South America experienced fluctuating volumes between 2018 and 2023. Starting at 137.9 thousand tons in 2018, the market grew to 151.0 thousand tons in 2019, then contracted to 129.9 thousand tons in 2020. A rebound followed in 2021, reaching 163.0 thousand tons, but volume fell again to 127.8 thousand tons in 2022 and sharply to 75.7 thousand tons in 2023. The steep drop in 2023 coincided with a surge in exports to 109.8 thousand tons, which significantly reduced domestic availability. The launch of new cocoa butter variants like lavender and lemon by the brand American Dream in 2018 may have initially stimulated consumer interest.

In value terms, the market showed a different trend, declining from 1 221 million USD in 2018 to 1 126 million USD in 2020 before recovering to 1 206 million USD in 2021 and rising steadily to 1 592 million USD in 2023. This increase in market value despite lower volumes points to substantially higher prices. This aligns with factors such as historically high global cocoa butter prices due to supply shortages from natural disasters in West Africa, as well as growing demand from the cosmetic, food, and pharmaceutical industries in Latin America. Additionally, investments in processing capacity expansion in Brazil and other countries, along with trade agreements like Mercosur, supported export-oriented growth.

Production cocoa butter in South America

In kind, 2017-2020, K t

Top producers of cocoa butter, 2017-2020

World map of production of cocoa butter, 2017-2020

South America's cocoa butter production volume increased for two consecutive years before declining. In 2019, production reached its peak at 174.5 thousand tons, marking a 6.9% increase from the previous year. However, in 2020, production fell to 164.8 thousand tons, representing a 5.6% decrease year-over-year. Over the period from 2017 to 2020, overall production grew by 5.5%, which translates to an average annual growth rate of 1.8%.

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

In value, 2017-2020, M $ US

South America's cocoa butter production value saw a two-year rise before experiencing a decline. In 2019, production value peaked at 1 264 million US dollars, showing a significant 24.2% increase from the prior year. In 2020, however, the value dropped to 955 million US dollars, a sharp 24.4% decrease compared to 2019. From 2017 to 2020, the overall production value increased by 7.7%, with a compound annual growth rate of 2.5%.

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

Exports cocoa butter from South America

Exports in kind, t

After two years of decline, South America's cocoa butter export volume rebounded with an increase. In 2019, exports hit their lowest point at 36 477 tons, following a substantial 19.4% drop in 2018. In 2020, exports rose to 43 288 tons, reflecting a robust 18.7% growth year-over-year. Over the 2017-2020 period, total exports decreased by 14.4%, averaging an annual decline of 5.0%.

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

From 2017 to 2020, the United States, the Netherlands, and Germany consistently led as the top destinations for South America's cocoa butter exports in volume terms. The United States accounted for 36.9% of exports, followed by the Netherlands at 13.8% and Germany at 13.4%. Together, these three countries represented 64.0% of total export flows.

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

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

Exports in value, M $ US

South America's cocoa butter export value showed mixed trends over recent years. In 2018, exports experienced the largest decline of 11.5%, but in 2019, they saw a 4.1% increase. In 2020, export value amounted to 251.0 million US dollars, indicating a 5.0% drop from the previous year. Overall, from 2017 to 2020, exports decreased by 12.5%, with an average annual decline of 4.4%.

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

Throughout 2017-2020, the United States, the Netherlands, and Germany formed the core group of partners for South America's cocoa butter exports in value terms. The United States held 37.1% of export value, the Netherlands 13.9%, and Germany 12.7%. Collectively, these three countries accounted for 63.8% of total export flows.

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

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

Imports cocoa butter to South America

Imports in kind, t

South America's cocoa butter import volume declined for the second year in a row. In 2018, imports reached their highest level at 15 341 tons, with a 10.2% increase from the previous year. By 2020, imports had fallen to 8 466 tons, a significant 34.9% decrease compared to 2019. Over the 2017-2020 period, total imports dropped by 39.2%, averaging an annual decline of 15.3%.

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

Between 2017 and 2020, Malaysia and Côte d'Ivoire were the primary sources for South America's cocoa butter imports in volume terms. Together, these two countries accounted for 8.2% of total import flows.

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

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

Imports in value, M $ US

South America's cocoa butter import value fluctuated in recent years. In 2018, imports peaked at 87.8 million US dollars, with a 9.2% increase from the prior year. In 2019, imports dropped to their lowest point at 75.2 million US dollars, marking a 14.3% decline. In 2020, imports rose to 80.7 million US dollars, showing a 7.2% increase compared to 2019.

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

From 2017 to 2020, Malaysia and Côte d'Ivoire remained the key sources for South America's cocoa butter imports in value terms. Together, they represented 6.4% of total import flows.

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

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