South America Compound Chocolate Market

South America Compound Chocolate Market Analysis

The South America Compound Chocolate Market is expected to register a CAGR of 5.73% during the forecast period.

• Increasing demand of low priced cocoa based products has increased the demand of compound chocolatesin South America. The major market drivers include, increased price of cocoa butter, limited supply of cocoa products in the market, cheaper price of compound chocolate, and increasing demand in industrial and bakery applications is driving the market growth in the region.
• Many varieties of vegetable oils, like palm, shea, and mango kernel, if blended in proper proportions, can produce physical properties in the final products that are better than those obtained using cocoa butter. Manufacturers are, thus, trying different methods in order to enhance the sensory profile of compound chocolate.

South America Compound Chocolate Market Trends

Versatile Application of Compound Chocolate in Bakery & Confectionery Segment

The compound chocolate are used in industrial applications of bakery and confectionery products, as direct chocolate end-consumers, and in ice creams. The increased demand of coatings & coverings for the bakery products has raised compound chocolates' popularity among bakery applications. The market is sub-segmented on the product type, as compound chocolate chips, coatings, slabs, and others. The chocolate chips are used in products, such as ice cream, biscuits, and cookies chocolate slabs are utilized commercially by manufactures for industrial applications, where it is melted and further processed into final product.

Compound Chocolate Companies Continue to Expand Presence in Chile and Brazil

Increased advancement in technology and the chocolate crisis in the market have provided a great opportunity to the compound chocolate market. Countries, such as Chile, Argentina, and Brazil are becoming very sophisticated in their tastes, which is influencing the application of compound chocolate in several segments of food & beverage industry, including bakery & confectionery.For instance, Barry Callebautopened a plant in Paine, nearly 45 km outside from Santiago, (Chile's capital) as part of its agreement with Chilean subsidiary of Argentinean confectioners Grupo Arcor. Thus, companies are expanding their presence in emerging markets in the region, such as Chile, Argentina, Uruguay, Paraguay, and Peru.

South America Compound Chocolate Industry Overview

South American compound chocolate market is primarily dominated by a few top players. The most active companies are - Cargill, Puratos, Unigra, Santa Barabar Chocolate, Blommer Chocolate Company, The Barry Callebaut Group, and Aalast Chocolate among others.

South America Compound Chocolate Market Leaders