Cadbury has announced it will raise the RRP of Freddo Frogs and Caramello Koalas from $1 to $2 due to increased ingredient costs.
The company announced the news on its social media, stating that the price rise is due to the record global price of cocoa and increased input costs, but reminded customers that it is the first price change in over a decade for the two products.
“We appreciate your understanding and continued support as we strive to deliver the high-quality chocolate you love, made with the best local ingredients.”
The stock price of cocoa per tonne nearly tripled between January and April, rising to USD $11,064, but recently pulled back by about a third.
Factors such as climate change, plant diseases, and socioeconomic challenges faced by cocoa-producing countries have all played a role in the price rise.
Kwame Osei, Senior Director of Global Programs at the Rainforest Alliance, said climate change and El Niño are devastating cocoa harvests.
“Hotter temperatures, unpredictable rainfall, and more frequent droughts shrink cocoa yields. On top of that, diseases like black pod and swollen shoot are spreading. The production drop, increased fertilizer and equipment costs, and booming chocolate demand are causing cocoa prices to rise sharply today.”
Kerry Daroci, Cocoa Sector Lead at the Rainforest Alliance, said companies buying cocoa have a unique opportunity and responsibility to improve cocoa farmers’ livelihoods.
“This means not only paying better prices for their crops, but also investing alongside them to implement more sustainable practices that reduce risks in cocoa farming.
“Better farming techniques, like regenerative agriculture, can help farmers improve soil health and productivity, while also expanding their sources of income—ultimately making them more resilient to the impacts of climate change.”
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