After the price of chocolate rose due to the harsh weather conditions, it is now the turn of vanilla, which will be severely punished and will see prices rise.
Over the past year, cocoa prices have doubled. The most active contract for this raw material exceeded $5,600 (about 5,200 euros) per metric ton, according to the Investing.com platform, surpassing the previous record of $5,379 (about 5,000 euros) recorded in 1977, that is, 47 years ago. .
Now, recent storms that hit Madagascar, the world's largest vanilla producer, have sweet tooth lovers worried. Rain and strong winds from Cyclone Gamani destroyed vanilla plantations in the island's main production area, leading to the loss of precious pods.
George Geraerts, president of the island's vanilla exporters' association, warned that vanilla production could be cut in half due to damage from the hurricane. In a year with favorable weather conditions, production reaches 1,500 tons, but this amount may decrease this year to 1,000 tons, according to conservative estimates, as revealed by “Bloomberg.”
Moreover, climate adversity has also affected other regions of Africa. Drought conditions in the south of the continent are putting crops at risk, contributing to high food price inflation.
Geraerts expects the vanilla market to balance out from 2025 after the impact declines this year. He also points out that the current price per kilogram of vanilla is about $60, compared to $250 two years ago, which indicates some stability in the market after the recent challenges faced by producers.
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