Halloween candy costs jump as cocoa prices remain high

Candy and gum prices have increased by 7.7 percent over the past year, according to federal data. Over the last two years, the cost of these items has climbed more than 18 percent. This rate of increase exceeds the average inflation rate for food during the same period.

Chocolate is a primary driver of the price surge. Drought and heavy rains in West Africa have reduced cocoa harvests in recent seasons, pushing global prices higher. David Branch, sector manager at the Wells Fargo Agri-Food Institute, noted that the chocolate currently on store shelves was produced using cocoa purchased in 2025. He stated that cocoa prices were high last year, which directly affects current retail costs.

Global cocoa production is recovering, but the benefit has not yet reached consumers. Branch explained that consumer prices are sticky because of the time lag in manufacturing. Manufacturers face additional cost pressures, including higher prices for sugar, increased fuel costs due to the war in Iran, and tariffs on imports.

Enna Grazier, owner of Enna Chocolate in New Hampshire, said her business faces a 50 percent tariff on some holiday packaging and ingredients from Canadian suppliers. Grazier said she has had to find alternative suppliers or change her packaging plans for the season. She described the situation as frustrating because it limits her ability to plan ahead and forces last-minute changes.

Despite the cost increases, the National Retail Federation expects consumers to spend a record $13.5 billion on Halloween this year. This amount represents a 3 percent annual increase. The average spending per person is projected to reach $115, which is 55 cents more than last year.

Some manufacturers are shifting product lines to avoid high cocoa costs. Companies are launching more gummy and sour candy, as well as chocolate-free options like KitKat’s marshmallow-flavored Witch’s Brew and Reese’s White Ghosts. However, demand for chocolate remains strong. Circana data shows chocolate candy sales have risen for several years, even as shoppers buy smaller quantities, meaning consumers are paying more for less product.