Famous Brands (You Consume) in Trouble Due to Hazelnut Crisis

Nutella promotion led to clashes between desperate buyers. Photo: AFP

Famous Brands (You Consume) in Trouble Due to Hazelnut Crisis

TL;DR

  • Falling global hazelnut prices are causing financial ruin for small producers in the Black Sea region.
  • Turkey, which dominates 70-80% of the world's hazelnut production, is heavily impacted by price drops.
  • A spring frost in Turkey has reduced the expected hazelnut harvest by 22-35%, driving up product prices.
  • Major commercial giants like Ferrero (manufacturer of Nutella, Kinder, Mon Chéri, and Ferrero Rocher) are significantly affected.
  • Ferrero is diversifying its sourcing but notes that new sources do not fully compensate for the loss of Turkish supply.
  • Consumers may face increased prices or reduced product sizes due to rising raw material costs.