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Dark chocolate makes sweet comeback in '09

Wire Reports
| Friday, May 28, 2010 4:00 a.m.

After stalling in early 2009, the dark chocolate market finished the year with a 9 percent increase in sales.

Not bad for an industry that many analysts thought would see demand from recession-weary consumers melt away, particularly amid higher prices for cocoa beans and predictions of a shortage in the world cocoa harvest. In the first two months of 2009, dark chocolate sales were off by 2.2 percent.

But while consumers started to pull back on unnecessary spending, they found ways to treat themselves. Economists call it the "lipstick factor," referring to the historical rise in lipstick sales during tough economic times as women look for an affordable way to cheer themselves up. In the candy industry's case, during the recession people sought chocolate as an affordable indulgence to feel better.

Candy sales as a whole increased last year by 3.6 percent, with 2,843 new products introduced to the market. About two-thirds were chocolate products, according to the National Confectioners Association.

Dark chocolate saw the greatest demand in 2007, when sales peaked at $829 million, a 35 percent jump from the previous year. Then the recession hit, and the pace of sales growth slowed in 2008 to 12 percent, according to the National Confectioners Association.


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