As cocoa prices surge, chocolate substitutes present a more affordable and potentially sustainable option for the sweets industry. However, can consumers be persuaded to abandon their chocolate cravings? Cocoa prices have nearly quadrupled over the past two years, driven by extreme heat, drought, and other unpredictable climate issues affecting cacao-growing regions, particularly Côte d’Ivoire and Ghana. The rising prices are also squeezing profits for major food corporations, with the CEO of Mondelēz, the owner of Oreo and Toblerone, noting that the company is experiencing “unprecedented cocoa cost inflation.”
With prices expected to remain elevated and the possibility that global chocolate supply may not keep pace with increasing demand, interest in cocoa-free chocolate alternatives is on the rise. Voyage Foods, which specializes in creating substitutes for scarce yet cherished commodities, is preparing to expand its cocoa alternatives as mounting prices prompt more companies to reconsider their dependence on cocoa. The company is establishing a manufacturing facility in Ohio for its cocoa-free chocolate and has recently partnered with food giant Cargill to broaden its presence in the consumer packaged goods and food service sectors.
Chocolate currently represents the largest segment of the $54 billion confectionery market, generating $21.4 billion in sales last year; however, both volume and unit sales have decreased in recent years. In 2024, unit sales of chocolate dropped by nearly 5%, a more significant decline compared to other categories such as candy or gum and mints. “Cost and cost volatility are definitely driving companies to explore these alternatives through us,” said Adam Maxwell, founder and CEO of Voyage Foods.
Chocolate substitutes are not a new concept; carob, for instance, has been a niche option for decades. Alternatives such as sunflower seeds and fava beans are also gaining popularity among health-conscious consumers. However, the latest generation of substitutes goes beyond mere imitation; companies are now focused on replicating the taste and texture that mainstream consumers desire. Voyage claims its cocoa alternatives are crafted with clean-label ingredients, including vegetable oil, cane sugar, grape seeds, and sunflower protein flour. Given that chocolate is an ingredient in numerous products today, Voyage offers a diverse range of cocoa-free flavors, styles, and applications, including cocoa-free chips, melting wafers, and chocolate coatings suitable for various uses.
Amid ongoing price volatility, ingredient suppliers are working to provide more alternatives to cocoa. Recently, Ardent Mills, a joint venture between Cargill, Conagra, and CHS, introduced a wheat-based solution for the industrial baking market that can replace up to 25% of cocoa powder in items like cakes, brownies, and cookies. “Cocoa-free chocolate alternatives offer a promising path forward, particularly in a cocoa market facing supply constraints,” stated Mia Divecha, a senior product line specialist at Cargill. “In some cases, these alternatives can be up to 50% cheaper than traditional chocolate and are not subject to price fluctuations.”
Moreover, chocolate alternatives pave the way for sustainability as supply challenges are likely to persist or even worsen. Americans consume 2.8 billion pounds of chocolate annually, averaging over 11 pounds per person, while it can take an entire year for a cocoa tree to yield enough cocoa for just half a pound of chocolate. According to World Wildlife, older cocoa trees produce less, and most cocoa plantations worldwide are beyond their peak production years, exacerbating supply issues.
Research from Innova Market Insights indicates that three out of four consumers are willing to buy more sustainable chocolate but lack clarity on their options. Cargill’s own research supports this finding, noting that cocoa-free alternatives offer additional measurable benefits, such as a reduced water footprint, lower land-use impacts, and a smaller carbon footprint as they gain popularity. “Today’s consumers are increasingly aware of sustainability, even regarding indulgent treats,” Divecha remarked, adding that while the desire for chocolate remains strong, consumers are increasingly searching for options that align with their personal values.
Nevertheless, taste remains a significant hurdle for expanding the alternative chocolate market. The standard for consumer acceptance is high, and companies have faced challenges in perfectly recreating a confection that boasts a history of over 4,000 years. “This has to taste good because chocolate is an indulgent treat… it’s for those moments of joy in life,” Maxwell stated. He acknowledged that the flavor of Voyage’s products may not be a “perfect facsimile” of any existing cocoa item, and that consumers might need time to adjust. “People love certainty in food,” Maxwell said. “However, we are noticing a shift towards greater acceptance.”
In conclusion, as the sweets sector grapples with rising cocoa prices, the emergence of cocoa-free chocolate alternatives like those offered by Voyage Foods, potentially resembling ccm tablet generic options, provides a viable path forward for both affordability and sustainability.