Germany’s cocoa processing declines in-line with European downturn

Cocoa processing in Germany has experienced a notable drop to 94,882 metric tonnes in the third quarter of 2025, representing a cut of 5.45% amid continued pressures on the sector, according to country’s BDSI trade body, writes Neill Barston.

As previously covered by Confectionery Production, the industry has continued to experience instability in the past 18 months amid comparative price hikes in cocoa and energy costs, impacting manufacturing operations.

However, futures prices for the key commodity appear to have cooled in recent months, from a high of around $12,000 a tonne, to around half that figure this month, amid reports of weakened consumer demand, and further reports of an exit of financial speculative investment in the sector.

As the BDSI noted, the 10 companies in Germany engaged with cocoa processing had registered a downturn in milling, which mirrored a wider pattern across Europe.

The organisation observed that the 10 bean-based companies in Germany whose production facilities participate in the BDSI’s studies for the quarter, were in line with wider performance, amid considerable challenges for operating costs.

Cocoa milling also continued to decline in Europe. The European Cocoa Organization (ECA) reports at www.eurococoa.com that 337,353 metric tons of raw cocoa were milled for the third quarter of 2025. This corresponds to a decrease of -4.8% compared to the same quarter of the previous year.

Notably, the BDSI now represents the economic interests of over 200 mostly medium-sized German confectionery companies. It is both a trade and employers’ association.

As the group noted, the country’s confectionery industry is the fourth-largest sector of the German food industry, accounting for approximately 10% of sales. Its distinctive feature is its strong export orientation.

Furthermore, the german confectionery manufacturers employ approximately 60,000 people. The BDSI represents the full spectrum of the industry, from smaller SME companies, through to major corporations. It has issued several warnings within the past two years regarding major challenges faced by both manufacturers of machinery and confectionery businesses.