April 20, 2024

Dark Chocolate is Estimated to Witness High Growth Owing to Increasing Health Benefits

Dark chocolate is a product made from cocoa beans, sweeteners, and cocoa butter. It is considered one of the healthiest options among all chocolates owing to the presence of antioxidants and beneficial plant compounds like flavonoids. Dark chocolate has higher cocoa content that provides numerous health advantages including reduced risk of heart disease, stroke, diabetes, and several types of cancer. The Global dark chocolate market is estimated to be valued at US$ 144.71 Billion in 2024 and is expected to exhibit a CAGR of 8.0% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the dark chocolate are Mars Inc., The Hershey Company, Nestl√© S.A., Godiva, Amul, Lindt & Spr√ľngli AG, Ghirardelli Chocolate Co., Patchi, Harry & David Holdings, Inc., and Mondelez International. Key players are investing in increased production capacities and innovative product launches to cater to the growing demand. The rising health consciousness among consumers and various health benefits of dark chocolate present significant growth opportunities for players in the market. Global expansion of market through opening manufacturing plants in developing countries of Asia and Latin America, and establishing online and offline distribution networks will help key players strengthen their presence across international markets.

Market drivers

Increasing awareness about various health advantages associated with dark chocolate consumption such as reduced blood pressure, lower risk of heart disease and stroke is a major driver for the growth of the market. Growing health consciousness among consumers and shifting preference towards nutrient dense dark chocolate over sugary milk or white chocolates is expected to boost the demand. Rising disposable income levels in developing countries is another key factor providing impetus to market growth over the forecast period.

PEST Analysis

  • Political: The government regulations related to ingredient transparency, labelling norms and minimum requirement for cocoa content may impact the market.
  • Economic: Factors like rising disposable income and health consciousness among people driving their demand for premium dark chocolate. High cocoa prices impacting profit margins for players.
  • Social: Growing awareness about health benefits of dark chocolate influencing people’s preferences. Increasing population of health conscious millennials fuelling consumption.
  • Technological: Advancements in processing and production technologies helping players launch varieties with varied flavors and formats like bars, buttons, coins etc to suit evolving tastes. Automation reducing production costs.

The largest markets for dark chocolate market in terms of value are Western Europe and North America. Western Europe accounted for over 30% share in 2024 led by countries like Germany, UK and Italy where consumption of premium chocolates is high. Availability of wide range of artisanal and organic variants along with high disposable incomes support market growth in the region.

The fastest growing regional market for dark chocolate is expected to be Asia Pacific during the forecast period. Countries like India, China and Japan are witnessing rising incomes and changing lifestyle and food preferences of younger populations. Growing availability through e-retail and modern trade channels along with penetration of global brands are driving consumption growth in Asia Pacific taking it to over 20% share by 2031.