United States (USA) Cocoa Powder Market Overview, 2029

The cocoa powder market in the United States has a long history, dating back to colonial times. The commercialisation of cocoa powder began in the late nineteenth century, with corporations such as Hershey and Ghirardelli establishing the groundwork for the present cocoa industry. Since then, the market has changed, continuously expanding as chocolate and cocoa powder become essential ingredients in a variety of food products, including baked goods, beverages, and confectionery. In the 2000s, the market saw an increase in demand for organic, fair-trade, and sustainable cocoa, driven by consumer awareness of the environmental and social implications of chocolate production. This need prompted changes in sourcing processes and product lines. For example, Hershey committed to source 100% certified cocoa by 2020, which is a huge step towards sustainability. The COVID-19 pandemic interrupted the cocoa supply chain worldwide, notably in the United States, where severe lockdown measures impacted logistics, production, and import operations. With major cocoa-producing countries such as Côte d'Ivoire and Ghana facing labour shortages and transportation restrictions, the supply of raw cocoa beans to the United States was briefly disrupted. The food production sector in the United States, which was regarded critical, remained operational, assisting in the mitigation of a serious chocolate crisis. The FDA enforces standards to protect the quality and safety of cocoa products sold in the United States. Cocoa powder, like other food items, must adhere to the Food Safety Modernisation Act (FSMA), which seeks to avoid contamination in the food supply chain.

According to the research report "USA Cocoa Powder Market Overview, 2029," published by Bonafide Research, the USA cocoa powder market is anticipated to grow at more than 3 % CAGR from 2024 to 2029. The United States relies significantly on cocoa bean imports to meet its cocoa powder need. The majority of cocoa beans are imported from West African countries including Côte d'Ivoire, Ghana, and Nigeria, who are the world's leading producers. However, there is a growing trend of getting cocoa from Latin American countries, especially for speciality and organic chocolate kinds. Ecuador and the Dominican Republic are major suppliers of these high-quality cocoa beans. Despite being a large cocoa consumer, the United States exports cocoa powder and chocolate products to international markets, primarily Canada, Mexico, and parts of Europe. Hershey's, a major brand with a long history in the cocoa and chocolate industries, is well-known for its diverse product line, which includes a variety of cocoa powder. Mars, another global company with popular trademarks such as M&M's and Snickers, supplies high-quality cocoa powders for usage in a variety of food applications. Nestlé is primarily a global player, although its U.S. operations include cocoa powder manufacture under names such as Toll House, which is well-known for baking products. Fair Trade USA and the Rainforest Alliance have collaborated with large U.S. firms such as Hershey, Mars, and Cargill to promote fair labour practices and environmental sustainability in chocolate production. The World Cocoa Foundation (WCF), a collaboration between the cocoa industry and governments, seeks to enhance cocoa farmers' livelihoods and assure long-term sustainability.

Natural Cocoa Powder, Dutch Process Cocoa Powder, and other specialised variations such as Black Cocoa and Raw Cacao are the most common types of cocoa powder sold in the United States. Natural cocoa powder is widely used in baking recipes that call for baking soda because the acidity activates the leavening ingredient. Dutch process cocoa powder, often known as "alkalised" cocoa, has an alkalising chemical added to neutralise its acidity. It is commonly used in recipes that call for baking powder instead of baking soda and is preferred for its rich flavour in chocolate treats. Cargill, Blommer Chocolate Company, Barry Callebaut, and Ghirardelli are major suppliers and distributors in the US cocoa powder market, each offering a variety of cocoa goods to the food sector and retailers. Navitas Organic, Specialises in organic, raw cocoa powders for health-conscious customers. Dutch Process Cocoa Powder is currently the most popular among consumers due to its softer flavour, adaptability, and deep colour, making it ideal for commercial and home baking. Its neutral pH and aesthetic appeal have made it a popular choice among chocolatiers, bakers, and dessert makers across the United States. Black cocoa is a heavily alkalised variant of Dutch process chocolate that is darker and less bitter. It is widely used in Oreo-style cookies. Raw cacao powder is lightly processed, so it retains more natural antioxidants and minerals.

Cocoa powder is used in a variety of industries, including chocolate and confectionery, bakery, beverages, functional foods, pharmaceuticals, and cosmetics, because of its rich flavour, health advantages, and adaptability. Chocolate & Confectionery is the dominant application due to the global need for chocolate products. The United States has one of the world's highest chocolate consumption rates, guaranteeing that confectionery remains the leading consumer of cocoa powder. The emergence of artisanal and premium chocolate businesses has fuelled this demand. Cocoa powder is used to flavour and colour a variety of baked items, including cakes, cookies, brownies, and pastries. It is prized for its capacity to produce a deep, rich flavour while also improving the visual appeal of sweets, making it a popular ingredient among bakers and chefs. Cocoa powder is also widely used in the beverage industry for making hot chocolate, cocoa beverages, and flavoured coffee. Dutch Process cocoa powder, with its mild flavour and deeper colour, is very popular in this area. Cocoa powder is also commonly used in instant mixes and ready-to-drink cocoa beverages. Cocoa powder, which contains antioxidants, flavonoids, and other beneficial components, is increasingly being used in functional meals to promote health and wellness. It is frequently added to protein powders, snack bars, and supplements to boost their nutritional value. Cocoa's health benefits, such as its cardiovascular benefits and mood-boosting characteristics, make it a popular ingredient in certain health supplements and medicinal formulations, albeit this is a lesser market than food. Cocoa powder is used in skincare products because it contains antioxidants that help combat free radicals, reduce inflammation, and enhance skin texture. It is commonly found in face masks, scrubs, and lotions, especially in natural and organic beauty products. Cocoa powder is supplied both domestically and internationally by Cargill, Barry Callebaut, Blommer Chocolate Company, Olam International, and Ghirardelli.

In the United States, cocoa powder is distributed via both offline and online channels, catering to a wide range of consumer tastes and product variants. Currently, offline channels dominate the US cocoa powder business, especially through supermarkets and hypermarkets. These brick-and-mortar stores are still popular because of their convenience, faith in recognised brands, and fast product availability. Many people like to shop for food, including cocoa powder, on a regular basis, making these businesses the preferred choice. Furthermore, offline retailers have the benefit of in-store promotions and discounts, which are appealing to budget-conscious customers. Large retailers such as Walmart, Kroger, and Costco are major players in the offline retail sector. These stores sell a wide range of cocoa powders from well-known brands such as Hershey's, Ghirardelli, and Nestlé, as well as private label products. Speciality food stores sell premium, organic or artisanal cocoa powders. Brands such as Navitas Organics and Equal Exchange can be found in health food retailers such as Whole Foods Market and Sprouts. Retailers such as Sam's Club and BJ's Wholesale provide bulk purchase choices that appeal to bakeries, confectioners, and frequent home bakers. However, online channels are fast expanding and gaining appeal, owing to the convenience of home delivery, a wider product selection, and the rising trend towards e-commerce following COVID-19. During the epidemic, people used internet platforms to buy food products, particularly baking components like cocoa powder, which greatly increased online sales.



Considered in this report
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Cocoa Powder market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• Natural Cocoa Powder
• Dutch Process Cocoa Powder
• Others

By Application
• Chocolate & Confectionery
• Bakery
• Beverage
• Functional Food
• Pharmaceutical
• Cosmetics

By Distribution Channel
• Offline
• Online

The approach of the report:
This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Cocoa Powder industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.