Hershey’s says it will raise prices on its chocolate treats.
Transcript:
CAROLINE WOODS: Your sweet tooth might be hurting your wallet soon — Hershey is raising prices. But don’t blame tariffs!
Hershey told retailers last week that it’s rolling out a double-digit price hike across its candy lineup, including Kit Kats and peanut butter cups.
The reason? Not tariffs. Hershey says “It reflects the reality of rising ingredient costs including the unprecedented cost of cocoa.”
Cocoa prices have been climbing for the past two years due to supply shortages from disease and poor weather in Ivory Coast and Ghana, where almost 60% of global supplies typically come from.
After hitting a record in December, prices have cooled down but still remain above historical levels.
And there’s more: back in May, Hershey’s warned it would shrink pack sizes — a classic case of shrinkflation. With earnings coming up next week, we’ll hear more about how Hershey’s plans to handle costs — but for now, expect to pay more and get less candy.
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