The Cocoa Shift: How India’s Agribusiness Sector Can Capitalize on Africa’s Decline in Cocoa Production

More than 60 percent of the world's cocoa is produced in West and Central Africa, especially in Ghana and Ivory Coast. Climate change, however, is disrupting this dominant position. The region's cocoa productivity has started to decline due to rising temperatures, unpredictable rainfall, and degradation of the soil. Nearly 47% of West and Central Africa may no longer be useful for cocoa farming by 2050, according to research. Production in the northern belt is expected to drop by 12%. A strategic change in buying preferences is expected as an outcome of the rising demand, and will likely result in higher cocoa prices, which are already up by more than 40% in 2024. Despite being a relatively small participant at present, India stands to benefit greatly as manufacturers from around the world look for alternate sources to expand their supply chains. Global businesses are already in motion. By investing in local R&D and farming capability, Mondelez, the company that makes Ca...