Argentina Cocoa Powder Market Overview, 2029

Argentina, renowned for its agricultural expertise, has made significant progress in the cocoa powder business, reflecting both domestic and international market forces. Argentina had a small but developing cocoa sector in the early 2000s, fuelled by both domestic demand and export potential. In 2014, the Argentine Cocoa and Chocolate Association (AACCC) was formed to promote the sector, improve quality standards, and support local producers, marking an important milestone. This organisation has played an important role in promoting the sector, encouraging innovation, and improving supply chain processes. In 2018, local farmers implemented "Sustainable Cocoa Farming Programs" with the goal of improving environmental impact and increasing cocoa field productivity. The National Food Safety and Quality Service (SENASA) regulates food safety, ensuring that cocoa powder products fulfil health and quality criteria. Furthermore, compliance with international standards, such as those established by the International Cocoa Organisation (ICCO), is critical for export markets. Compliance with these criteria helps Argentine producers maintain their credibility and get access to global markets. On the one hand, supply chain disruptions and logistical issues hampered both local production and export efforts. Due to port closures and shipping difficulties, cocoa bean exports experienced a short drop during the epidemic. However, the increased emphasis on home baking and cooking during lockdowns raised domestic demand for cocoa powder, partially offsetting the export loss. According to the research report "Argentina Cocoa Powder Market Overview, 2029," published by Bonafide Research, the Argentina cocoa powder market was valued at more than USD 80 Million in 2023. Several major businesses dominate Argentina's cocoa powder market. Arcor Group, one of Latin America's leading food firms, is a significant provider of cocoa powder and related products. Sodecar, another key player, produces high-quality cocoa powder for both domestic and international markets. Cocoa Argentina, a significant local producer, has also received acclaim for its devotion to sustainable and organic cocoa products. Cooperativa Agricola de Misiones is an example of a cooperative that helps small-scale farmers and adds to the local cocoa supply. According to the Argentine Chamber of Commerce, cocoa powder imports have expanded in recent years to augment domestic output and meet a variety of consumer demands. Argentina's exports have been expanding into international markets. The country exports cocoa powder to a variety of destinations, including Europe and Latin America. In 2020, Arcor Group worked with the World Cocoa Foundation to promote sustainable cocoa cultivation practices and improve the livelihoods of local farmers. This alliance demonstrates Argentine companies' commitment to global sustainability initiatives and ethical sourcing. To promote their products, local enterprises attend international trade events and exhibits. Events like the Feria Internacional de Alimentos y Bebidas (FIA) allow Argentine cocoa growers to interact with worldwide clients and showcase their innovations.

There are various types of cocoa powders on the Argentine market, each responding to a distinct set of demands and interests. There are three main types: natural cocoa powder, Dutch process cocoa powder, and speciality cocoa powders. Dutch Process Cocoa Powder leads the Argentine market. Its popularity stems from industrial demands for consistent quality and a homogeneous flavour profile in large-scale chocolate manufacture and baking. The versatility of Dutch Process cocoa powder to blend nicely into a variety of formulas makes it the favoured choice for commercial use. Furthermore, its availability from major suppliers such as Barry Callebaut and Cargill ensures its extensive use in both domestic and foreign markets. In Argentina, Arcor Group and Sodecar are well-known native suppliers of natural cocoa powder for use in traditional chocolate goods, confectionery, and baking. Its particular flavour makes it a popular ingredient in artisanal and handcrafted items, reflecting the country's strong tradition in these fields. Speciality cocoa powders include organic, fair-trade, and single-origin options. These items target specific consumers and are frequently utilised in high-end confectionery and health-related products. Cocoa Argentina and Dengo Chocolate are two brands that specialise in cocoa powders with a focus on sustainability and quality. These speciality powders appeal to consumers looking for ethically sourced and handmade products, highlighting an increasing trend towards premium and responsible consumption. Cocoa powder is used in a wide range of applications in Argentina, each with its own set of requirements and features. The principal uses are chocolate and confectionery, bakery, beverage, functional food, pharmaceutical, and cosmetics. Chocolate and confectionery is Argentina's main segment. The country's deep-rooted chocolate culture, combined with a growing preference for high-quality, artisanal chocolates, fuels increasing demand for cocoa powder in this industry. The existence of big domestic firms such as Arcor Group, as well as backing from international suppliers like as Barry Callebaut, demonstrates the market's dominance in chocolate and confectionery. Cocoa powder's flexibility makes it an essential ingredient in both commercial and home baking. Domestic suppliers, such as Cacao Argentina, provide cocoa powder to local bakeries and pastry shops. The Beverage application offers both traditional refreshments like hot chocolate and trendy cocoa-flavored beverages. Companies such as Nestlé Argentina and Cacep supply cocoa powder for these products, meeting the demand for both traditional and new beverage options.Cocoa powder is used in functional food applications such as energy bars and fortified cereals. Cocoa's antioxidant capabilities appeal to consumers looking for nutritional benefits. Cocoa powder is less common in the pharmaceutical industry, however it is utilised in various medical and dietary supplements because of its flavonoid concentration. This is a specialised application, with specific products using cocoa powder for its health benefits. Cocoa powder is used in cosmetics for its antioxidant and calming effects, particularly in skincare. In the Argentine cocoa powder business, distribution routes are critical for connecting suppliers and customers. The primary distribution channels are offline and online, with each playing a unique role in the marketplace. Currently, offline distribution is the dominant channel in the Argentine cocoa powder business. This dominance stems partly from Argentina's strong tradition of physical retail purchasing, in which people frequently prefer to visit stores to select their products. Major supermarkets like Carrefour Argentina and Coto play an important role in the offline distribution of cocoa powder, selling products from both domestic manufacturers like Arcor Group and foreign names like Barry Callebaut. High-quality and artisanal cocoa powders are also available in speciality stores such as Gourmet Market, which sells gourmet and organic foods. Online distribution has grown in popularity in recent years, owing to the advent of e-commerce and shifting customer preferences. Platforms like Mercado Libre and Amazon Argentina make it easy for customers to buy cocoa powder from a variety of suppliers. Online shopping has several advantages, including a larger product selection, competitive pricing, and the ease of home delivery. Domestic producers such as Cacao Argentina and international businesses use internet platforms to reach a wider audience, especially those seeking speciality or organic products. The growing inclination for digital purchasing, as well as the ease of access to speciality products that may not be available in local retailers, are propelling online distribution forward.

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Manmayi Raval

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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

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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.