Political unrest in Africa isn't just having an impact on oil prices. Conflicts on the Ivory Coast have sent the cocoa exchange traded note ( ETN ) soaring, too.
iPath Dow Jones AIG Cocoa ETN (NYSEArca: NIB) is up a whopping 17.1% year-to-date and cocoa prices are at 32-year highs. What gives?
The main reason for the spike is a ban on cocoa exports from the Ivory Coast, which is contributing to a growing chocolate shortage. [ Agriculture ETFs: Major Shortfall Predicted. ]
Turns out the Ivory Coast is a big deal when it comes to chocolate.
Joel Rose for National Public Radio reports that the Ivory Coast produces about 40% of the world's beans. Analysts think that processors and manufacturers are in pretty good shape, but more cocoa must come out of Africa to bring prices back to normal. [ Sugar, Coffee And Cocoa Rally On Fundamentals. ]
It might be time to stock up on Hershey bars.
Tisha Guerrero contributed to this article.