FERNDALE, Mich. (WXYZ) — Your favorite candy bar may soon cost you more. Hershey's, the maker of Kit Kat, Reese's and obviously Hershey's chocolate bars said it plans to raise prices on its most popular products.
The reason for this? An increase in the cost of cocoa, a key ingredient in chocolate. And Hershey's isn't the only chocolate maker affected by hiking prices.
Watch the full report from Peter Maxwell in the video player below
Cocoa prices have deobled in the last two years, because of supply problems forcing some to raise their prices, and consumers have taken notice. But one local chocolatier is taking a different approach.
"Everything is going up across the board," said chocolate consumer Matt Fermoile.
"I would pay more if it supports the workers, but if it's just because things are more expensive, I would probably not," said chocolate consumer La Mar Harris.
"Even though the cocoa prices have gone up but what goes up can also come down," said David Ogloza, the founder of Quix Chocolate in Ferndale.
A shortage of cocoa stemming from heat and flooding problems has caused the price of cocoa to sky rocket, forcing some companies like Hershey to raise their prices on their most popular chocolate products.
The Hershey company provided 7 News Detroit with the statement below on the increase:
“We're committed to delivering the treats consumers love while continuing to invest in making our products and experiences even better. To support our approach, we’re making a price adjustment with our retail customers. This change is not related to tariffs or trade policies. It reflects the reality of rising ingredient costs including the unprecedented cost of cocoa. [For years,] we’ve worked hard to absorb these costs and continue to make 75% of our product portfolio available to consumers for under $4.00, ensuring that Hershey treats stay accessible and affordable for families everywhere.”
"Cocoa prices since we opened, which was three years just a few days ago, have more than doubled," Ogloza said
Ogloza said he is taking a different approach, even with the rise in his cost for cocoa.
"As a business owner i think raising the prices of our chocolates for a temporary reason is not really a good reason," Ogloza said.
Quix makes all of their chocolate in small batches at their Ferndale location and he said as a business owner, you need to have diversity on your shelves, so they also sell coffee, Belgian beer and wine.
"We are able to have a diversifed offering so not all of our income is dependent on chocolate," Ogloza said.
Fermoile said he loves chocolate and says he buys his candy in bulk. He's curious to see what the upcoming price increase will look like.
"It used to be under a dollar a bar but I don't know what the new price increase will be," Fermoile said.
"People will still pay it. i don't think it will deter," said chocolate consumer Francis Bolis.
