You are not imagining it if you are thinking that you are spending more money than usual for that Valentine's Day chocolate this year. Cocoa prices are soaring around the world due to a number of climate issues in West Africa.
Here is what you need to know about the sticker shock of that chocolate for Valentine's Day.
Hershey's Reports Struggling Profits Due to Issues With Cocoa Crops on a Global Scale
It is going to be an expensive Valentine's Day as the price of cocoa continues to climb to unprecedented levels. Hershey Co. announced last week that it was being forced to slash 5% of its workforce due to the increasing costs of producing its chocolate products. The company is struggling to remain profitable as shown by its less than stellar fourth quarter earnings report.
Ongoing climate issues in West Africa are being blamed for the steep increase in the cost of cocoa. This part of the world is responsible for over 60% of total cocoa production around the planet. The weather problems have resulted in damaged cocoa crops that have reduced the production and led to price increase.