From Fortune:

Cocoa prices have reached record highs and significant chocolate producers are raising the alarm in preparation for a possible Valentine’s Day buying bonanza. Poor weather and climate change have negatively impacted the output for cocoa producers in Ghana and Ivory Coast, leading to potential global production decline by double digits this year.

Cocoa prices have increased significantly, causing prices for chocolate to follow suit. The surge has resulted in a 17 percent price increase for chocolate over the past two years. This trend is expected to impact demand for chocolate as manufacturers are likely to pass on the higher cocoa costs to consumers, as well as increased prices of sugar.

Michele Buck, CEO of Hershey Co. and Luca Zaramella, CFO of Mondelēz, cautioned about potential earnings limitations caused by high cocoa prices. Buck stated that the company is willing to raise prices if necessary, with Zaramella previously indicating impending price increases throughout the year due to higher cocoa commodities costs.



Read more: Cocoa, chocolate prices soar to record highs on El Niño, climate change