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The market for cocoa powder


  • Henk. L.M. Kox


The paper analyses the forces that shape demand and supply processes in the market for cocoa powder. A brief statistical summary is given of the main trends in international demand and production, and the spatial shifts in cocoa processing. Ample attention is given to the role of technology substitution and price factors in production decisions. The paper separately analyses the role of price, income levels and government regulation in the demand for cocoa powder. In the final part of the paper, all preceding elements are brought together in an integrated simulation model of the cocoa processing industry, showing the interactions between the market for cocoa powder and other elements of the cocoa industry (cocoa, cocoa butter, cocoa liquor, chocolate). Empirical evidence is presented with regard to main parameters of the model.

Suggested Citation

  • Henk. L.M. Kox, 2004. "The market for cocoa powder," Industrial Organization 0412002, University Library of Munich, Germany.
  • Handle: RePEc:wpa:wuwpio:0412002
    Note: Type of Document - pdf; pages: 37. Background paper for 'Modelling and forecasting the market for cocoa and chocolate', Economic and Social Institute (ESI), Free University Amsterdam, August 2000

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    References listed on IDEAS

    1. anonymous, 1995. "Conference offers lessons on infrastructure," Regional Update, Federal Reserve Bank of Atlanta, issue Apr, pages 1-3.
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    Cited by:

    1. Applanaidu, Shri Dewi & Mohamed Arshad, Fatimah & Abdel Hameed, Amna Awad & Hasanov, Akram & Idris, Nurjihan & Abdullah, Amin Mahir & Shamsudin, Mad Nasir, 2009. "Malaysian Cocoa Market Modeling: A Combination of Econometric and System Dynamics Approach," MPRA Paper 19569, University Library of Munich, Germany.
    2. Abdel Hameed, Amna Awad & Hasanov, Akram & Idris, Nurjihan & Abdullah, Amin Mahir & Mohamed Arshad, Fatimah & Shamsudin, Mad Nasir, 2009. "Supply and Demand Model for the Malaysian Cocoa Market," MPRA Paper 19568, University Library of Munich, Germany.

    More about this item


    cocoa; cocoa powder; industry study; simulation model; intermediate products; government regulation;

    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • L19 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Other
    • L66 - Industrial Organization - - Industry Studies: Manufacturing - - - Food; Beverages; Cosmetics; Tobacco

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