Hershey Co., the iconic U.S. chocolate maker behind brands like Reese’s Peanut Butter Cups, is set to implement a double-digit price increase across its confectionery portfolio as cocoa prices remain elevated.
A company spokesperson confirmed that Hershey has already informed retail partners of the upcoming hike, attributing it to “unprecedented” cocoa costs. “This change is not related to tariffs or trade policies. It reflects the reality of rising ingredient costs, including cocoa,” the spokesperson said, without disclosing the exact price changes as discussions with retailers are still ongoing.
Cocoa prices have surged sharply over the past two years, driven by poor harvests and supply disruptions in major producing countries like Ghana and the Ivory Coast. Although prices have recently retreated from their record highs in December 2024 to an eight-month low, they remain significantly above historical averages.
Hershey has been managing input cost pressures by adjusting both pack sizes and product pricing. During the company’s Q1 earnings call in May, CEO Michele Buck noted that price adjustments—particularly for seasonal items—were expected to roll out through the second and third quarters of FY25.
The confectionery giant is one of several global chocolate makers facing ongoing margin pressure due to volatile commodity markets.