Chocolate Is About to Get More Expensive. Here's Why

Calling all sweet tooths -- there's some bitter news you'll want to know. Chocolate prices have risen significantly over the last year and will likely continue to soar. If you're working on important financial goals, you may want to reduce your chocolate consumption to keep more money in your checking account. Discover why your favorite sweet treat could soon cost more.

Chocolate prices have increased 14% this year

You may have noticed higher price tags for your beloved favorite chocolate bar at your local grocery store. A recent CNBC article notes that chocolate prices have increased 14% this year, citing consumer intelligence database NielsenIQ. There is more than one reason for this.

One factor that is influencing the rise in the cost of cocoa is weather conditions. In many regions where cocoa crops are grown, weather conditions have not been ideal for successful, plentiful growth. Prices will likely increase due to the return of El Niño weather patterns, which can impact weather conditions worldwide.

Warmer temperatures, a drier climate, and less rain are anticipated in some parts of the world where cocoa is grown. West Africa is one region that will be impacted. Ghana and Côte d'Ivoire are the two largest cocoa-producing countries, accounting for more than 60% of the world's cocoa production. If weather conditions worsen, there could be a chocolate shortage.

Ingredients needed to make chocolate now cost more

Another factor contributing to higher cocoa costs is the cost of ingredients needed to make your favorite chocolate treats. Some of the ingredients we use daily are necessary to make chocolate goodies and these items now cost much more.

Butter and sugar are two ingredients needed to make chocolate, and both have risen in price. Considering the unfavorable cocoa crop conditions due to weather and more costly ingredients, it's no wonder chocolate prices have increased.

If you're a chocoholic who isn't ready to give up your preferred sweet treat, you may want to increase your grocery budget to account for higher costs. Budgeting apps can help you stay on track with your spending. The last thing you need is credit card debt due to overspending.

A Loma Linda University study found that eating dark chocolates with a high concentration of cocoa can reduce stress and improve mood, memory, and immunity. With this information in mind, it may be worthwhile to continue buying chocolate despite the higher price tag.

Dark chocolate lovers could spend more to satisfy their cravings

Dark chocolate is expected to be hit the hardest by the price increases. Dark chocolate contains more cocoa solids than white or milk chocolate, so it's more expensive to make. Now is an excellent time to try something new. Switching to an alternate variety of chocolate could help you save money.

Shop the best sales to avoid overspending

While chocolate prices may continue to rise, that doesn't mean you have to stop buying this tasty treat. Instead, monitor prices and buy your favorite chocolate essentials when they're on sale. Before going grocery shopping, review your local retailer's sales flier to find the best deals. Take a look at our personal finance resources for additional ways to save money.