Date : November 30, 2021
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Latin America- The next sweet tooth destination - Bonafide Research

Latin America- The next sweet tooth destination - Bonafide Research
Despite the average economical situation of the countries, the chocolate industry is growing well in the South American region. The significance of chocolate confectionery over sugar confectionery is growing among the customers in the region. An inclination towards the want for new taste has opened markets for the industry to bloom. Some of the key players present in the global market are Lindt and Sprungli AG, Hershey Company, Ferrero Group, Mondelez International, and Nestle SA, etc. The marketers are launching and re-branding of their different variants to capture more market. The chocolate market of Latin America proposed to become the next big destination for chocolate industries with its rapid chocolate adaption.

Ecuador in Latin America is the home for one of the world’s best chocolate brand. Cocoa trees can survive only in hot and rainy places near equator. Latin America is filled with ancient ruins, rich culture, and religious influence. Coastlines, mountains, rainforests, and even an expanding glacier reveal its diverse natural beauty. It is believed that the cocoa trees grew on the lower slopes of the Andes Mountains. In 2019 Brazil was the seventh largest cocoa producer in the world. Brigadeiros is the traditional bite sized chocolate loved by Brazilians.

According to the report "Latin America Chocolate Market Outlook, 2026" published by Bonafide Research, the market will grow with the CAGR of more than 7% by 2026. Almost 50% of chocolate market is occupied by Brazil. Followed by Argentina, and then Chile. Latin America chocolate market is segmented as Milk Chocolate, Dark Chocolate and White Chocolate. The demand for premium chocolates will have the highest CAGR in forecasted year. Argentina chocolate market will grow with highest CAGR in forecast year. The availability of confectionary items at discounted prices in supermarkets and online grocery stores have made the purchase easier for the customers. The emerging online segment is pushing the chocolate market on the way of growth and development. Companies have started selling their chocolate products through their websites. The presence of top 5 brands like Lindt & Sprungli AG, The Hershey Company, Ferrero Group, Mondelez International, Nestle SA makes this Market very competitive. Latin America is closely monitoring the African countries for cocoa production to become top cocoa producer globally. Nestle leads the chocolate market in Brazil.

Changing tastes and preferences of people regarding chocolates is coming as a challenge for the chocolate producing companies across the Latin American region. Various on-the-go snacks are having their influence on the customers and are easily available near to house convenience stores that can cause the problem to the prevalence of the chocolate confectionery market. Still, constant launches of new flavors and variants have opened doors for a promising future in the South American market. The consumers being proactive with regards to health now consider eating smaller chocolates, as overeating leads to obesity. Gifting chocolates is the simplest adopted form today, due to its global acceptance. Despite wide acceptance, luxury chocolates still need to find a prominent place.
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Latin America- The next sweet tooth destination - Bonafide Research

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