Li Peng Monroe and Peter Channells have come a long way since their first 2 kg cocao bean processor. Photo: Supplied.
The thought of being a chocolatier may conjure Willy Wonka-esque ideas of sweet capers, but in reality, it’s a trade that’s at the centre of uncontrollable global forces. In the last 18 months, those forces have made life as an artisan chocolate producer a little challenging.
At least, that’s what two Canberra region chocolatiers tell me. And they would know; they are two of the best.
Yasmin Coe from Murrumbateman Chocolate Co. and Peter Channells from Jasper and Myrtle Chocolates practise two different disciplines of chocolate making, but both share a similar story of an industry that is just starting to come out the other side of unprecedented upheaval.
Peter goes right to the source when crafting his chocolates by sourcing the raw cacao beans from farmers in Bougainville in Papua New Guinea. He notes that the price increases he has experienced are beyond what anyone could have predicted.
“For the last 15 or so years, cocao beans have stayed fairly steady at US$2000 per tonne. That was until the end of 2023, when they jumped to around US$12,000 per tonne. That increase happened in five months.”
Peter says he knows of no other commodity that has ever seen such a massive increase. He’s thankful to have been insulated from the worst of it, having purchased 15 tonnes of beans at the start of the price rises, which saw him through the biggest hikes.
Yasmin Coe is making a name for herself in chocolate through local flavour collaborations. Photo: Supplied.
It’s a story that Yasmin knows too well. She sources the highest quality of couverture chocolate, essentially the final product, not the raw product that Peter works with, and her cost of goods has doubled.
“When prices started increasing, it was substantial, 30 per cent year on year, but in the last 12 months, they’ve actually doubled, which has been extraordinary. It’s beyond what anyone could have imagined,” Yasmin explains.
Yasmin and Peter are both embedded in the industry and can talk to the supply crises that have caused the price increases. Peter discusses changes occurring among the world’s biggest producers in West Africa, which have created a constraint in the global market. Yasmin is also aware of issues with diseased crops, further restricting supply.
Peter says that the global issues are complex, but it really boils down to supply and demand. In one way, Peter is pleased with the trend, as the people receiving the extra money are the farmers.
“We know for a fact that the farmers were getting almost all of the increase. We have to pay more, and the consumer has to pay more, but we are very happy to see the farmers making more.”
Peter and Li Peng are hands-on in Papua New Guinea, sourcing their cacao beans directly from the farmers. Photo: Supplied.
Peter has noticed a slight decrease in cacao prices over the last few months, attributed to reduced global demand for chocolate due to inflated prices. However, this hasn’t yet affected Yasmin’s supply chain for the couverture chocolate she works with.
With a cost-of-living crisis in full swing, both Peter and Yasmin walk a fine line with what costs they can absorb and what they can pass on.
“Businesses are really stuck between a rock and a hard place at the moment; we’re being hit with these price increases that are hard to absorb at a time when consumers are really stretched as well,” says Yasmin.
To combat it, Yasmin has looked within her business to find ways to ensure all of her lines are viable. She has tightened up her range and discontinued some items.
“None of it is easy,” says Yasmin as she reflects that when she drops a product, there can be disappointment for the consumer.
Peter explains a similar response and is motivated by a desire to keep fine chocolate accessible.
“We probably have more international medals for chocolate than anyone else in Australia, and that indicates to people that it’s a good product. But it doesn’t mean that we can double the price, and we don’t want to lock it away so it’s only for special people; we try to keep it affordable.”
There has also been a significant increase in consumer awareness about the traceability of chocolate. People want to ensure that the chocolate is sustainable and ethical and that child labour exploitation hasn’t been a factor in the chocolates that they consume.
This is something that Yasmin and Peter have held close since they started their businesses, ensuring that they know the source. They know the conditions in which the beans and chocolate are produced, but as Yasmin explains, this further restricts the supply channels she can use, limiting her ability to source more competitive pricing.
Price increases as significant as the industry has seen can’t be passed on. Photo: Supplied.
For many, it could be enough to make you reconsider your career, but Yasmin and Peter are both wholeheartedly invested when it comes to the chocolate game, and they don’t have to look too far for things that excite them when it comes to making chocolates.
Top of the list for both of them is the use of native flavours and botanicals.
“People’s understanding and appreciation for native Australian botanicals is really growing, and getting to use those flavours really excites me,” says Yasmin.
Using native ingredients isn’t new to Peter; one of his first chocolates was lemon-myrtle and macadamia. While he often finds it hard to source some native ingredients in large quantities, he is still excited to incorporate them whenever possible and is currently having fun working with wattle seed.
Yasmin has also been forging a path in local collaboration in her region. She is currently working with local producers to bring a distinct and unique flavour to her chocolate creations.
“We work with over 20 Canberra region suppliers across wineries, distilleries, fruit growers, truffle producers and nut growers.”
Yasmin’s and Peter’s excitement for their industry is quite infectious, no small feat given the state of things. After talking with them, I know for one that I will never look at a simple chocolate the same again.
