Cargill to up cocoa capacity at Brazilian plant

Cargill plans to increase its cocoa processing capacity by 25% at its plant in Ilhéus, Brazil, to keep up with rising consumer demand for chocolate and cocoa products in the market.

The company will invest R$10m (US $5m) in new equipment in an expansion project set to conclude in early 2014.

“Brazil’s swelling middle class is one of the main factors driving consumption of food with richer flavor and more indulgent appeal. Accordingly, the demand for chocolate, ice cream, dairy beverages, cocoa powder beverages, desserts, biscuits, and other products containing cocoa products is on the rise and encourages investment in this industry,” said Cargill in a statement.

The world’s largest chocolate company Mondelez International has pinpointed Brazil as one of its priority markets.

According to Euromonitor International, the Brazilian chocolate market will grow by an average of 8.1% every year in the next five years, reaching $18.5bn in sales by 2017.