Mobile Menu

Industrial Chocolate Production in the US - Market Research Report (2013-2028)

Dmitry Diment Dmitry Diment New York, United States Last Updated: September 2023 NAICS OD5620

Revenue

$2.1bn

2023

$2.1bn

Past 5-Year Growth

Profit

$XXX.Xm

Employees

4,660

Businesses

122

Wages

$XXX.Xm

Industrial Chocolate Production in the US industry analysis

The Industrial Chocolate Production industry has experienced growth, despite volatility from fluctuating cocoa prices and challenges introduced by the COVID-19 pandemic. The industry's production, which includes processed cocoa beans to manufacture cocoa products, including cocoa powder, liquor and butter, is largely destined for chocolate confectionery producers, although bakers and dairy beverage producers also buy cocoa products to infuse into their foods. In recent years, fluctuations in cocoa prices have been offset by improving disposable incomes and greater demand for premium chocolate goods. Despite an added emphasis on health consciousness by American consumers and challenges created by the COVID-19 pandemic that dragged down revenue, overall industry revenue has been increasing at a CAGR of 0.5% and is expected to reach $2.1 billion in 2023. Still, a decline in the price of cocoa will likely translate to lower selling prices over the current year, resulting in an expected revenue contraction of 0.5% in 2023.Revenue for producers corresponds with demand for chocolate and the price of cocoa beans. High demand for chocolate raises the selling price of cocoa beans and products, especially when supply is limited. This enables industrial chocolate producers to charge higher prices for products. Conversely, weak demand and falling cocoa prices devalue inventory, forcing losses on operators. Cocoa prices fluctuated wildly in recent years and have yet to recover from their precipitous decline in 2017. The perpetual swing of cocoa prices has ultimately made it difficult for producers to optimally price goods, even as overall selling prices have risen slightly in recent years. As a result, profit margins across the industry have remained stagnant.Market conditions are expected to be more stable moving forward, although a projected decline in cocoa prices will hurt selling prices for industrial chocolate producers. According to current projections, the world price of cocoa will decline consistently moving forward. This will outweigh new opportunities for small companies, which will enter the industry to meet demand from health-conscious and environmentally friendly consumers that seek to purchase organic, sustainably sourced cocoa that demands premium prices. Consequently, industry revenue is forecast to contract at a CAGR of 0.9% to $2.0 billion over the five years to 2028.

Trends and Insights

  • Producers have withstood volatile cocoa prices. Revenue has risen as consumer demand has remained stable and improving consumer health has raised demand for premium, sustainable varieties.
  • Cocoa powder accounts for the largest share of revenue, the most commonly retailed product for manufacturers. It is inexpensive and largely homogenous, which purchasers transform into other products downstream.
  • The Mid-Atlantic has the largest concentration of industrial chocolate producers. The region has the largest number of downstream chocolate manufacturers and major consumer markets.
  • Brand equity keeps consumers tied to their favorite choices. The position of industrial producers with long term contracts to favored downstream chocolate manufacturers is secure and difficult to circumvent.
Show more

Everything you need in one report

  • Reliable market estimates from 2013-2028
  • Competitive analysis, industry segmentation, financial benchmarks
  • Powerful SWOT, Porter’s Five Forces and risk management frameworks
  • Online membership platform with PDF, Word, Excel and PPT exports

Industry Overview

Market size and recent performance (2013-2028)

Industry revenue has grown at a CAGR of 0.5 % over the past five years, to reach an estimated $2.1bn in 2023.

Trends and Insights

The volatility of cocoa prices has dictated sales trends

  • Cocoa beans are the main input into products. When cocoa bean prices rise, purchase cost grow; however, it also raises the value of inventory, enabling companies to pass costs downstream via higher selling prices and boosting industry revenue. Conversely, falling cocoa prices devalue inventory and cause selling prices and revenue to decline.
  • Additional trends and insights available with purchase
Industrial Chocolate Production in the US
Revenue (2013-2028)
IBISWorld Logo Source: IBISWorld

Industry outlook (2024-2029)

Market size is projected to decline over the next five years.

Trends and Insights

With cocoa prices projected to fall, so will the fortunes of industrial manufacturers

  • In contrast to the pandemic-scarred years, cocoa prices will remain more stable moving forward. Stability in cocoa prices is good news for small chocolate producers that are less able to pass high costs downstream and end up absorbing them instead, to the detriment of margins.

Biggest companies in the Industrial Chocolate Production in the US

Company
Market Share (%)
2023
Revenue ($m)
2023
Profit ($m)
2023
Profit Margin (%)
2023
Blommer Chocolate Company
688.6
2.3
0.3
Cargill, Incorporated
507.9
6.0
1.2
Barry Callebaut Ag
362.3
17.3
4.8

To view the market share and analysis for all 3 top companies in this industry, view purchase options.

Products & Services Segmentation

Industrial Chocolate Production in the US
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Cocoa powder, Sweetened chocolate and Unsweetened chocolate. Cocoa powder is the largest segment of the Industrial Chocolate Production in the US.

Trends and Insights

The most commonly sold product is cocoa powder

  • Cocoa powder is the solid substance remaining from cocoa beans after the fat, or cocoa butter, is removed.
  • More insights available in the full report

Unbiased research for even more industries at your fingertips

  • 5000+Industries covered
  • 100+Local analysts
  • 250k+Hours of detailed analysis
  • 100k+Subscriber community

Purchase a membership to access this industry and so much more.

Widen you competitive advantage with related industries

Competitors

  • Chocolate Production in the US

Complementors

  • Sugar Processing in the US
  • Candy Production in the US
  • Confectionery Wholesaling in the US

International industries

  • Global Candy & Chocolate Manufacturing
  • Chocolate Production in Canada
  • Chocolate and Confectionery Manufacturing in Australia
  • Chocolate & Confectionery Production in the UK
  • Chocolate & Candy Production in China

View all industries in United States

Table of Contents

About this industry

Industry definition

This industry includes companies that press cocoa beans to manufacture cocoa ingredients used in other food processing. This industry’s products include cocoa powder, cocoa butter and cocoa liquor.

What's included in this industry?

Producing cocoa powderProducing cocoa butterProducing cocoa liquorProducing other industrial chocolate

Companies

Blommer Chocolate CompanyCargill, IncorporatedBarry Callebaut Ag

Purchase this report to view all 3 major companies in this industry.

Related Terms

CHOCOLATIERCACAOCOCOA BUTTERCOCOA POWDERCOCOA LIQUORCONFECTIONERYORGANICPREMIUM

Industry Code

NAICS 2017

NAICS 31135 - Industrial Chocolate Production in the US

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Producers have withstood volatile cocoa prices. Revenue has risen as consumer demand has remained stable and improving consumer health has raised demand for premium, sustaina...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2013-2022) and forecast (2023-2028)
  • Employees, including historical (2013-2022) and forecast (2023-2028)
  • Businesses, including historical (2013-2022) and forecast (2023-2028)
  • Profit, including historical (2013-2023)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Cocoa powder accounts for the largest share of revenue, the most commonly retailed product for manufacturers. It is inexpensive and largely homogenous, which purchasers trans...

In this chapter

  • Products & Services
  • Major Markets
  • International Trade

Key metrics

  • Largest market segment and value in 2023
  • Product innovation level
  • Total imports, level and trend
  • Total exports, level and trend
  • Trade Balance

Charts

  • Products & services segmentation in 2023
  • Major market segmentation in 2023
  • International trade, including imports by country and exports by country

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services
  • Recent trends in import and export volumes, country of origin or destination, and expected future trends

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The Mid-Atlantic has the largest concentration of industrial chocolate producers. The region has the largest number of downstream chocolate manufacturers and major consumer m...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each state
  • Share of population compared to establishments in each region in 2023

Tables

  • Number and share of establishments in each state in 2023
  • Number and share of revenue each state accounts for in 2023
  • Number and share of wages each state accounts for in 2023
  • Number and share of employees in each state in 2023

Detailed analysis

  • Geographic spread of the industry across North America, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Brand equity keeps consumers tied to their favorite choices. The position of industrial producers with long term contracts to favored downstream chocolate manufacturers is se...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2018-2023
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

The industry is dominated by multinational conglomerates, which have vast downstream markets domestically and abroad. The three largest companies alone account for more than ...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2019 through 2023
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2023
  • Overview of Blommer Chocolate Company's performance by revenue, market share and profit margin from 2017 through 2023
  • Overview of Cargill, Incorporated's performance by revenue, market share and profit margin from 2017 through 2023
  • Overview of Barry Callebaut Ag's performance by revenue, market share and profit margin from 2017 through 2023

Detailed analysis

  • Description and key data for Blommer Chocolate Company, and factors influencing its performance in the industry
  • Description and key data for Cargill, Incorporated, and factors influencing its performance in the industry
  • Description and key data for Barry Callebaut Ag, and factors influencing its performance in the industry

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Rules set by the Food and Drug Administration at the federal level govern ingredient use and content listing by manufacturers. Additional rules about product labeling are set...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2013-2028) 
  • Assistance historical data and forecast (2013-2028) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Purchase costs account for most of all spending for producers. Purchase costs are swayed by the price of cocoa, the primary input into industrial chocolate production.

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
  • Investment vs. share of economy

Data tables

  • Industry Multiples (2016-2021)
  • Industry Tax Structure (2016-2021)
  • Income Statement (2016-2021)
  • Balance Sheet (2016-2021)
  • Liquidity Ratios (2016-2021)
  • Coverage Ratios (2016-2021)
  • Leverage Ratios  (2016-2021)
  • Operating Ratios (2016-2021)
  • Cash Flow & Debt Service Ratios (2013-2028)
  • Revenue per Employee (2013-2028)
  • Revenue per Enterprise (2013-2028)
  • Employees per Establishment (2013-2028)
  • Employees per Enterprise (2013-2028)
  • Average Wage (2013-2028)
  • Wages/Revenue (2013-2028)
  • Establishments per Enterprise (2013-2028)
  • IVA/Revenue (2013-2028)
  • Imports/Demand (2013-2028)
  • Exports/Revenue (2013-2028)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2013-2028)
  • IVA (2013-2028)
  • Establishments (2013-2028)
  • Enterprises (2013-2028)
  • Employment (2013-2028)
  • Exports (2013-2028)
  • Imports (2013-2028)
  • Wages (2013-2028)

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in the US include: 

  • US Census Bureau
  • US Bureau of Labor Statistics
  • US International Trade Commission

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.

Frequently Asked Questions

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Industrial Chocolate Production in the US industry in United States in 2024?

The market size of the Industrial Chocolate Production in the US industry in United States is $2.1bn in 2024.

How many businesses are there in the Industrial Chocolate Production in the US industry in 2023?

There are 122 businesses in the Industrial Chocolate Production in the US industry in United States, which has declined at a CAGR of 0.3 % between 2018 and 2023.

Has the Industrial Chocolate Production in the US industry in United States grown or declined over the past 5 years?

The market size of the Industrial Chocolate Production in the US industry in United States has been growing at a CAGR of 0.5 % between 2018 and 2023.

What is the forecast growth of the Industrial Chocolate Production in the US industry in United States over the next 5 years?

Over the next five years, the Industrial Chocolate Production in the US industry in United States is expected to decline.

What are the biggest companies in the Industrial Chocolate Production in the US market in United States?

The biggest companies operating in the Industrial Chocolate Production market in United States are Blommer Chocolate Company, Cargill, Incorporated and Barry Callebaut Ag

What does the Industrial Chocolate Production in the US in United States include?

Producing cocoa powder and Producing cocoa butter are part of the Industrial Chocolate Production in the US industry.

Which companies have the highest market share in the Industrial Chocolate Production in the US in United States?

The company holding the most market share in United States is Blommer Chocolate Company.

How competitive is the Industrial Chocolate Production in the US industry in United States?

The level of competition is moderate and increasing in the Industrial Chocolate Production in the US industry in United States.