Cocoa prices hit a three-year high in June of 2014 due to a global deficit. There are many reasons for this deficit including supply issues and price hikes, but the main reason is that demand for cocoa in emerging markets is higher than ever. Consumers in markets such as India see chocolate as an affordable luxury and a gift option. Most chocolate manufacturers have absorbed the high prices so far, but companies such as Mondelez are producing smaller versions of their chocolate products and selling them for the same prices.
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