Environmental Crisis and Cocoa Substitutes – Jay Lee’s U.S. Report (139)

Environmental Crisis and Cocoa Substitute Ingredients

– U.S. Column #139 by Jay Lee

International Organizations Predict a 460,000 Ton Shortfall… Cocoa Production Through Cell Culturing

By Jongchan Lee, CEO of J&B Food Consulting

In recent years, efforts to reduce carbon emissions in the face of the environmental crisis, combined with advancements in biotechnology, have spurred scientists to reinvent food. These efforts range from alternative sweeteners to 3D-printed meat. Additionally, with the global commercialization of alternative meats, cocoa is now facing a severe shortage due to the climate crisis, prompting the development of lab-produced, cocoa-free chocolate.

Over 60% of the world’s cocoa beans are grown in a relatively small tropical region of West Africa. However, this area has been experiencing extreme weather, including droughts and heavy rains, resulting in devastating fungal infections and other pests that have significantly reduced cocoa production.

The situation is further exacerbated by deforestation and land loss due to local mining practices, along with environmental efforts by importing countries to curb illegal logging. The shortage is made even more critical by the strong demand elasticity for cocoa-based products, driving up concerns.

The world’s second-largest producers, Ivory Coast and Ghana, which together account for around 60% of the global cocoa market share, are expected to see a 30% decrease in production for 2023-2024 compared to 2022-2023. The International Cocoa Organization (ICCO) has recently revised the predicted global cocoa shortage for 2023-2024 from 439,000 tons to 462,000 tons.

Given the bleak outlook for cocoa production in West Africa, the industry has been exploring diversification strategies through other tropical countries, particularly in Latin America and Asia. However, establishing new cocoa farms and global resources takes time, which adds to the complexity.

To address this, California-based plant cell culturing company California Cultured plans to start selling chocolate products made from lab-cultured cocoa in 2024. By placing cocoa bean cells in sugar water, they can cultivate a mature fruit in just one week. This method significantly reduces water and labor requirements while dramatically shortening the harvesting period compared to traditional methods.

German startup Planet A Foods is also working on cocoa-free chocolate, using fermentation technology. Their product ChoViva is made with at least 20% oats, sunflower seeds, sustainable plant fats, sugar, and milk powder.

As climate change continues to affect traditional crops, the food supply is expected to face more disruptions. However, the development of biotechnology will provide various new ingredients to replace the traditional ones. As Korea also faces the impacts of climate change, there is hope for the advancement of K-food biotech and new food innovations.

Feel free to contact us

jay@jnbfoodconsulting.com or 714-873-5566

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