Sustainable Innovations in the Chocolate Industry
/Did you know that the highest-performing commodity of 2024 wasn’t gold or bitcoin? It was chocolate.
Americans who indulge in chocolate may not realize the external pressures threatening their favorite treat and driving up prices. From climate change to labor shortages, the chocolate industry faces an evolving landscape that demands innovation, resilience, and sustainability across the value chain.
To explore where the chocolate industry is headed, Branchfood and Greater Zurich Area (GZA) convened both US and Swiss experts to discuss solutions shaping the future of chocolate. Moderated by Elizabeth Crawford of FoodNavigator-USA, the panel featured Alan Perlstein, CEO of California Cultured; Dr. Lucas Grob, CEO of Swiss Food Research; and Manuel Hoehener, Global Head of Research and Development for Chocolate & Coffee at Bühler Group. Each speaker offered unique insights into the industry's challenges and the groundbreaking solutions driving sustainable change.
The current landscape
U.S. consumers ate 8.2 lbs of chocolate on average per person in 2024. Source: Statista. Image: Canva.
The webinar began by outlining the current chocolate market landscape and the steady demand from consumers. Chocolate remains one of the most beloved treats in the United States. According to a report from Innova Market Insights, approximately 40% of Americans eat chocolate at least once a week. Manuel Hoehener explained that Bühler is working on maintaining a balance between global supply and increasing consumer demand. He stressed the importance of integrating sustainability efforts into this equation, including combating deforestation and eliminating child labor.
The panel also addressed the supply chain challenges worsened by climate change and labor shortages. Alan Perlstein highlighted a troubling trend: global chocolate production has declined for the last few years. He attributed this trend to complex factors, including poor weather and plant disease. These issues, he explained, feed off each other to put more stress on cocoa trees.
Dr. Lucas Grob emphasized the human dimension of cocoa production. Beyond the logistical hurdles, the industry's volatility affects the farmers who cultivate cocoa, the communities surrounding them, and the factory workers further along the supply chain. He posed a critical question: How can the industry increase financial security for farming communities as climate change introduces greater uncertainties?
Innovation Driving Sustainability
One of the most promising developments in the chocolate industry is the use of technology to create sustainable alternatives. Alan Perlstein discussed how California Cultured is pioneering lab-grown cocoa to address the environmental and ethical issues associated with traditional cocoa farming. By employing cell cultivation technology, the company aims to produce cocoa with a reduced carbon footprint while minimizing reliance on deforested land.
Meanwhile, Bühler Group is working on refining processing techniques to optimize energy efficiency and reduce waste. Hoehener emphasized that improving efficiency at the processing level is as vital as addressing agricultural challenges. Through such processing improvements, Bühler aims to boost sustainability without compromising product quality.
Dr. Grob highlighted the potential of upcycling byproducts from cocoa production. Similar to diversifying a financial portfolio, creating new products from waste streams could drive the next sustainability revolution. Through Swiss Food Research, researchers, startups, corporations, and academia collaborate to accelerate innovation. These efforts not only benefit chocolate but also provide insights that could transform food systems globally.
The U.S. chocolate confectionery market is estimated to be worth $23B. Source: Statista. Image: Canva.
The Future of Chocolate
As chocolate prices continue to rise and supply challenges persist, the industry must invest in solutions that enhance both environmental and economic sustainability. Whether through alternative production methods, fairer wages for farmers, or more efficient processing, the future of chocolate depends on bold innovation and global collaboration.
This insightful discussion underscored the urgency of these challenges while highlighting the groundbreaking innovations already reshaping the industry. With continued investment and cooperation, the chocolate industry is charting a more sustainable and equitable path forward for stakeholders worldwide.
Greater Zurich Area Ltd (GZA) is the official investment promotion agency of the economic region of Zurich, Switzerland. As a trusted partner for internationally expanding companies, GZA provides expert guidance. GZA acts as an intermediary, door opener, and facilitator. They guide companies interested in expanding into Switzerland through the ecosystem of the Greater Zurich Area and network them with relevant companies, universities, research institutes, incubators, platforms, associations, and authorities. All services are free of charge. Discover Greater Zurich's FoodTech ecosystem.
At Branchfood, we’re excited to continue spotlighting the companies and researchers driving food innovation forward. If you're interested in the future of sustainable chocolate or want to be part of the conversation, sign up for our newsletter or follow us on LinkedIn.