Rising Hazelnut Costs Challenge Chocolatiers

Quick Summary:

• Turkey, teh world’s largest producer of hazelnuts, is expected to see a major drop in its harvest due to severe spring frost. Production is forecast at 453,000 tons this year,down from 717,000 tons last year.
• The Turkish Grain Board has increased the price it pays farmers by approximately 50% in response to lower yields.
• Hazelnut prices are projected to rise globally, creating additional challenges for chocolate makers already hit by rising cocoa costs earlier this year from poor weather in West Africa.
• Major companies like Ferrero (maker of Nutella) and other confectioners use hazelnuts extensively but face potential supply issues and cost hikes. Some firms like Turkey’s Tayas Gida have already reduced hazelnut content in products by up to two-thirds due to higher prices.
• Climate change remains a key factor affecting food supplies as unpredictable weather impacts crops such as cocoa, coffee, olive oil-and now hazelnuts.

Indian Opinion Analysis:
India imports notable quantities of nuts-including almonds and walnuts-as part of growing consumer demand for healthier snacks and ingredients used widely in desserts and confections. while India is not a direct importer of Turkish hazelnuts on an extensive scale yet-this growth may reverberate across global nut markets and subsequently affect import expenses domestically too-downstreamly likely ripple price-wise correction maybe spherical ChatGPT *….