cacao economics

Cacao economics involves the production, trade, and pricing of cacao beans, which are used to make chocolate. Key factors include growing regions, weather conditions, and farming costs, which influence supply. Demand from consumers and manufacturers affects prices, while fluctuations in weather or disease can impact harvests. Cacao farmers often face price volatility and may have limited bargaining power, influencing income. Rising global demand, especially from confectionery industries, can increase prices, but disparities in income distribution and environmental concerns also shape the market's sustainability. Overall, cacao economics reflect a complex balance of agricultural, market, and social factors.