Global Cacao Crisis: Chocolate Prices Surge Tenfold

The cocoa market has skyrocketed 200% in the past year, leaving Bitcoin's 150% gain in the dust. This sharp climb has caused chaos among chocolate lovers and industry insiders alike.

How Global Warming Impacts Cacao Prices? ?

In a radio interview with @Yoram Mokady, Managing Director of @Universal Music Group and Radio Host at @100FM and @Yariv Erez, CEO of @Frontier RNG, Yariv correlates rapidly rising cacao prices with the health of our planet.??

Global warming is causing droughts that disrupt food security globally, with a particularly harsh impact on the cacao industry. Persistent dry spells in West Africa and Southeast Asia have significantly reduced supply, leading to a more than threefold increase in the cost of this cherished delicacy from 2023 to 2024, as reported by CNBC.?

Additionally, global political instability and the COVID-19 Pandemic have shown that we can't rely on food imports. Cultivating diverse crops through innovative practices is essential for achieving self-sufficiency and protecting against global climate, supply, and farming disruptions.?

Can AgriTech Solve Food Shortages??

Yes, indeed. ?

“Frontier helps AgriTech startups transform research into real-life results through global platforms,” said Yariv Erez. The partnership between Ramat Negev Agro-Research Center and Arieli Capital offers invaluable business development tools to Israeli AgriTech startups through Frontier’s global operations, connections, and collaborations.??

"Frontier’s goal is to transform networking into business," said Yariv. "We offer a 'one-stop shop' for startups in our Start AgriTech program, providing business development and trial opportunities, and potential investments from Arieli and other leading industry leaders,” he continued.?

The Innovation Center leverages AgriTech advancements addressing various sectors and global needs. But can it solve the global cacao crisis? ?

Reimaging Cacao Cultivation?

"Is cacao farming possible in Israel?” Asked Yoram.???

“The question is not if it’s possible, but if it’s possible and economical,” replied Yariv. “With the limited research we have, it seems we won’t be able to change the global cacao map quite yet, but it’s like an ink swell—at first it drips a little, forming a small dot, until it grows into a big drop.”?

"While traditional cacao cultivation requires rain, can it be done with sprinklers? Or greenhouses?” Yoram inquired.??

"Greenhouses, no. Cacao farming is typically done in developing countries like Ghana, Nigeria, the Ivory Coast and Indonesia, where irrigation infrastructure is minimal, often nonexistent—places where hoses and sprinklers are considered novel,” explained Yariv. “There is also an educational gap regarding cacao cultivation. How and when should the crop be watered? This is not something that farmers have dealt with before, and it is currently being researched.”??

The Destructive Effect of Climate Change on Our Food Systems and Solutions?

The cacao crisis is a harsh reminder of AgriTech’s importance in an increasingly warming world. The climate crisis will continue to affect the price and availability of cacao and many other temperature and water-sensitive crops like wheat, rice, corn, coffee, peanuts and soy. This motivates us to continue to support and develop AgriTech technologies that protect human health, the environment, and global food security.?

Ramat Negev’s Roots and Branches?

Ramat Negev Desert Agro-Research Center has been active for the past 80 years as part of a project that encourages the development of agriculture in Israel’s peripheral regions to enhance the prosperity of Ramat Negev and encourage desert settlements. The Center conducts applied agricultural research in close cooperation with farmers, research instructors, agro-industry leaders, and academic institutions, carrying out annual trials to test various crops such as olives, pomegranates, jojoba, grapes, tomatoes, bell peppers, fresh herbs, and ornamental flower varieties, actively working towards global food security with Frontier RNG.?