SINHGAD INSTITUTE OF HOTEL MANAGEMENT AND CATERING

TECHNOLOGY
Kusgaon (Bk), Lonavla.

PROJECT REPORT ON

INDIAN MARKET FOR CHOCOLATE MANUFACTURER

SUBMITTED BY

ADITYA.BHALCHNDRA.JOSHI

FINAL YEAR BHMCT

UNDER THE GUIDENCE OF

PROF. SACHIN DESAI

SUBMITTED TO THE UNIVERSITY OF PUNE IN THE FULFILMENT

OF SUBJECT

PROJECT REPORT (802)

SINHGAD TECHNICAL EDUCATION SOCIETY’S

1
 SINHGAD INSTITUTE OF HOTEL MANAGEMENT AND
CATERING TECHNOLOGY
Kusgaon (Bk), Lonavla.

CERTIFICATE

This is to certify that Mr. Aditya.b.joshi Student of Final Year BHMCT has
successfully completed his project report on INDIAN MARKET FOR
CHOCOLATE MANUFACTURER and submitted to the report to
University of Pune in the fulfillment of Subject

Project Report (802)

For the academic year 200 - 200

Prof. Vijay Thakur Prof. Sachin desai

Principal Project guide

Prof. Sameer Koranne

Project Head

Internal Examiner External Examiner

DATE________________

2
 ACKNOWLEDGEMENT

I take this opportunity to sincerely thank and express my gratitude to my

guide, Prof. SACHIN DESAI for his cooperation and inputs throughout the
course of this project. It was largely due to his help, support, esteemed
guidance and encouragement that this project could take shape and be
completed. I thank him for giving direction to this project and imbibing in an
organized approach towards tackling the relevant problems.

I also thank the Head of our Project Prof. SAMEER KORANNE for
guiding us in the project work.

I shall also like to take this occasion to thank Prof. SACHIN DESAI,
(HOD) Food Production for lending me with his kind co-operation during
the course of the work, without his help and suggestions it would have been
tremendously difficult to get through the same.

I would also like to thank Dr. ASHOK .PUSEGOANKARSIR and for

forwarding priceless information through mail despite their busy schedules
and many ideas which were helpful in completing my project.

Lastly, I would like to thank my family for their support and motivation
throughout this period.

ADITYA.B.JOSHI
DATE______________

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 SYNOPSIS

Name: Aditya.b.joshi Class: Final Year BHMCT

Aim: To study Indian market for chocolate & chocolate

Manufacturing.

Objectives:
 To study importance of market in chocolate industry
 Factors affecting for processing chocolate.
 To study the Indian market conditions of chocolate and its
scope.
 To study the new market trend in chocolate industry.
 To study the importance of chocolate.

Limitations:
 Lack market new trends.
 Lack of mechanical skills.
 Lack of market Recourse

Methodology:
 Questionnaires.
 Market survey.

Reference:
 Internet.
 Books.
 Bakery visits.
 Manufacturing industry.

Name: Aditya.b.joshi. Sign: ________

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 INDEX

SR. TOPIC PAGE. NO.

NO.
1 Project outline 7

2 Objectives 8

3 Limitation 10

4 What is chocolate 12

5 Brief history of chocolate 13

6 Chocolate making process 15

7 chocology 19

8 Chocolate Facts 21

9 Types of chocolate 23

10 Indian market facts 33

11 Cadbury India 40

12 Nestle India 51

13 Amul India 52

14 Benefits of chocolate 57

15 Bibliography 68

16 conclusion 69

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6
 INDEX OF FIGUERS AND PICTUERS

Sr.no List of figures and pictuers Page

no

1 Coco pods basic 22

2 Ripened coco pods 31

3 Coco production in near country 33

4 Chocolate fountain 34

5 Conching machine 36

6 Chocolate packing moulds 45

7 Modern consumer trends 48

8 Amul chocolate brands 64

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INDIAN CHOCOLATE MARKET

Project Outline

 What is chocolate? How chocolate is manufactured? Manufacturing

process in India and analyzing major coco producing areas.

 Market of chocolate in India , major players of chocolate producer in

India ,

 Discuss about current market trends in Indian chocolate, and future scope
of chocolate market.

 Over look of the benefits of chocolate and its usefulness. Even measuring
the chocolate healthy benefits.

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 Objectives of Indian chocolate market

 This project is basically constructed in such way to give a guideline to

entrepreneur for in future business it gives a complete information
about chocolate manufacturing process and its details.

 To get the information about major manufacturing chocolate

companies and their chocolate making procedure and study about the
market.

 To know Facts and some statistical information, and figures about

chocolate business in past years.

 To record some health related benefits of chocolates with reference of

technologist and doctors

 This project also talks about the Indian market current condition about
chocolate and its history chocolate has history but its ahs no relation
to India but its links with Indian history

 This project helps student a lot about understanding the chocolate

making process and other marketing strategies of major company and
their mission vision.

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 This project is also gives information about Indian climate suitability
about coca production.

 To know the details about history of the chocolate.

 This information also express the importance of advertisement in the

marketing

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11
 Limitations of the Indian chocolate market

 India has very less pre capita consumption of chocolate compare to

other western country’s.

 No. of Indian based chocolate manufacturing company’s are very

few rather only 1. that is amul India.

 Coca beans production is also less in India.

 Use of chocolate in Indian cuisine is compare to other cuisine is

very low.

 Awareness about chocolate benefits to the local public has to be

increased.

 Indian import rules should be made less strict to import more and
more chocolate variety from outside and more varieties can be
produced

 There has to be some chocolate manufacturing industry alliance

and institute giving training so that it helps to increase the
competitors in the market.

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13
 WHAT IS CHOCOLATE

The word "chocolate" comes from the Aztecs of Mexico, and is derived
from the word xocolatl which is a combination of the words, xocolli,
meaning "bitter", and atl, which is "water". The Aztecs associated chocolate
with Xochiquetzal, the goddess of fertility. Chocolate is also associated with
the Maya god of fertility. Mexican philologist Ignacio Davila Garibi,
proposed that "Spaniards had coined the word by taking the Maya word
chocol and then replacing the Mayan term for water, haa, with the Aztec
term, atl." However, it is more likely that the Aztecs themselves coined the
term, having long adopted into Nahuatl the Mayan word for the "cacao"
bean; the Spanish had little contact with the Maya before Cortés' early
reports to the Spanish King of the beverage known as xocolatl.] William
Bright noted that the word xocoatl does not occur in early Spanish or
Nahuatl colonial sources.
This was all about technical history and inventions about chocolate but in
simpler form chocolate is sweets made from unique flavors and taste as well
which attracts all age group of the world this is spreads all over world very
fast taste of chocolate loved mostly by the children now a days chocolate
also preferred by youths to express their emotions ,love.

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 BREIFE HISTORY ABOUT CHOCOLATE

History

A mug of hot chocolate. Chocolate was first drunk rather than eaten.
History of chocolate
Chocolate has been used as a drink for nearly all of its history. The earliest
record of using chocolate dates back before the Olmec.In November 2007,
archaeologists reported finding evidence of the oldest known cultivation and
use of cacao at a site in Puerto Escondido, Honduras, dating from about
1100 to 1400 BC. The residues found and the kind of vessel they were found
in indicate that the initial use of cacao was not simply as a beverage, but the
white pulp around the cacao beans was likely used as a source of
fermentable sugars for an alcoholic drink. The Maya civilization grew cacao
trees in their backyard, and used the cacao seeds it produced to make a
frothy, bitter drink. Documents in Maya hieroglyphs stated that chocolate
was used for ceremonial purposes, in addition to everyday life. The
chocolate residue found in an early ancient Maya pot in Río Azul,
Guatemala, suggests that Maya were drinking chocolate around 400 AD. In
the New World, chocolate was consumed in a bitter, spicy drink called
xocoatl, and was often flavored with vanilla, chile pepper, and achiote
(known today as annatto). Xocoatl was believed to fight fatigue, a belief that
is probably attributable to the theobromine content. Chocolate was also an
important luxury good throughout pre-Columbian Mesoamerica, and cacao
beans were often used as currency.[] For example, the Aztecs used a system
in which one turkey cost one hundred cacao beans and one fresh avocado
was worth three beans. south American and European cultures have used
cocoa to treat diarrhea for hundreds of years. All of the areas that were

15
conquered by the Azetcs that grew cacao beans were ordered to pay them as
a tax, or as the Aztecs called it, a "tribute".

Until the 1500s, no European had ever heard of the popular drink from the
Central and South American peoples. It was not until the Spanish conquest
of the Aztecs that chocolate could be imported to Europe, where it quickly
became a court favorite.] To keep up with the high demand for this new
drink, Spanish armies began enslaving Mesoamericans to produce cacao.
Even with cacao harvesting becoming a regular business, only royalty and
the well-connected could afford to drink this expensive import. Before long,
the Spanish began growing cacao beans on plantations, and using an African
workforce to help manage them. The situation was different in England. Put
simply, anyone with money could buy it.

The first chocolate house opened in London in 1657. In 1689, noted

physician and collector Hans Sloane developed a milk chocolate drink in
Jamaica which was initially used by apothecaries, but later sold to the
Cadbury brothers. For hundreds of years, the chocolate making process
remained unchanged. When the people saw the Industrial Revolution arrive,
many changes occurred that brought the hard, sweet candy we love today to
life. In the 1700s, mechanical mills were created that squeezed out cocoa
butter, which in turn helped to create hard, durable chocolate, But, it was not
until the arrival of the Industrial Revolution that these mills were put to
bigger use. Not long after the revolution cooled down, companies began
advertising this new invention to sell many of the chocolate treats we see
today. When new machines were produced, people began experiencing and
consuming chocolate worldwide.

CHOCOLATE MAKING PROCESS

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The cocoa-bean -- the heart of the sweetest delicacy in the world -- is bitter!
This is why, up to the 18th century some native tribes ate only the sweetish
flesh of the cocoa fruit. They regarded the precious bean as waste or used it,
as was the case among the Aztecs, as a form of currency.

The Varieties
There are two quite different basic classifications of cocoa,
under which practically all varieties can be categorised: Criollo
and Forastero cocoas. The pure variety of the Criollo tree is
found mainly in its native Equador and Venezuela. The seeds
are of finer quality than those of the Forastero variety.

They have a particularly fine, mild aroma and are, therefore, used only in the
production of high-quality chocolate and for blending. However, Criollo
cocoa accounts for only 10% of the world crop. The remaining 90% is
harvested from trees of the Forastero family, with its many hybrids and
varieties. The main growing area is West Africa. The cocoa tree can flourish
only in the hottest regions of the world.

The Harvest
Immediately after harvesting, the fruit is treated to prevent it
from rotting. At fermentation sites either in the plantation or at,
collecting points, the fruit is opened.

Fermentation
The fermentation process is decisive in the production of high quality raw
cocoa. The technique varies depending on the growing region.

Drying
After fermentation, the raw cocoa still contains far too much water; in fact
about 60%. Most of this has to be removed.

What could be more natural than to spread the beans out to dry on the sun-
soaked ground or on mats? After a week or so, all but a small percentage of
the water has evaporated.

Cleaning
Before the real processing begins, the raw cocoa is thoroughly
cleaned by passing through sieves, and by brushing. Finally,

17
the last vestiges of wood, jute fibers, sand and even the finest dust are
extracted by powerful vacuum equipment.

Roasting
The subsequent roasting process is primarily designed to develop the aroma.
The entire roasting process, during which the air in the nearly 10 feet high
furnaces reaches a temperature of 130 °C, is carried out automatically.

Crushing and shelling

The roasted beans are now broken into medium sized pieces in the crushing
machine.

Blending
Before grinding, the crushed beans are weighed and blended according to
special recipes. The secret of every chocolate factory lies in the special
mixing ratios which it has developed for different types of cocoa.

Grinding
The crushed cocoa beans, which are still fairly coarse are now pre-ground by
special milling equipment and then fed on to rollers where they are ground
into a fine paste. The heat generated by the resulting pressure and friction
causes the cocoa butter (approximately 50% of the bean) contained in the
beans to melt, producing a thick, liquid mixture.

This is dark brown in colour with a characteristic, strong odour. During

cooling it gradually sets: this is the cocoa paste.

At this point the production process divides into two paths, but which soon
join again. A part of the cocoa paste is taken to large presses, which extract
the cocoa butter. The other part passes through various blending and refining
processes, during which some of the cocoa butter is added to it. The two
paths have rejoined.

Cocoa Butter
The cocoa butter has important functions. It not only forms part
of every recipe, but it also later gives the chocolate its fine
structure, beautiful luster and delicate, attractive glaze. cocoa
butter has a low content of unsaturated fatty acids, especially of
polyunsaturated ones and therefore the shelf life of the fat is relatively good.
If cocoa butter is moulded into slabs directly after production and the slabs

18
are well packed in order to prevent oxidation, the shelf life should be several
years.

Often the cocoa butter is transported in liquid form in tankers and more care
must be taken when this occurs if the shelf life is to be maintained. Factors
to watch are temperature (below 45oC), air/oxidation (air coming into
contact with the cocoa butter causes rancidity), storage in the dark, humidity
(between 50% and 60%). In addition after the tanks are emptied all residues
of cocoa butter must be removed as they will go rancid and contaminate the
next batch to be delivered.

Reference:
S.T. Beckett Industrial chocolate manufacture and use. 2nd edition. Blackie
Academic & Professional, 1994

Cocoa Powder
After the cocoa butter has left the press, cocoa cakes are left which still
contain a 10 to 20% proportion of fat depending on the intensity of
compression.

These cakes are crushed again, ground to powder and finely

sifted in several stages and we obtain a dark, strongly aromatic
powder which is excellent for the preparation of delicious
drinks - cocoa. Cocoa paste, cocoa butter, sugar and milk are
the four basic ingredients for making chocolate. By blending them in
accordance with specific recipes the three types of chocolate are obtained
which form the basis of ever product assortment, namely: The following is a
summary of the factors to be considered in the storage of cocoa powder.

• Air humidity should be below 50% to prevent moisture absorption as

moisture encourages the growth of moulds and bacteria.
• Pressure can cause lumping of the powder and so bags should not be
stacked too high.
• Cocoa powder contains fat and so it can easily absorb odours in the
surrounding air. It should therefore be kept away from strong smelling
substances.
• Fluctuations in temperature should be avoided as the fat can partially
melt in warm conditions and crystallise again as it cools. Changes in
temperature can also cause condensation to form, which can

19
 encourage moulds to grow. The storage temperature should be
between 15oC and 18oC and not more than 20oC.
• The risk of spontaneous combustion of cocoa powder begins at
approximately 165oC (329oF).
• The risk of dust explosion from cocoa powder begins at
approximately 40g of cocoa powder per cubic meter of air.

Kneading
In the case of milk chocolate for example, the cocoa paste, cocoa butter,
powdered or condensed milk, sugar and flavouring - maybe vanilla - go into
the mixer, where they are pulverized and kneaded.

Rolling
Depending on the design of the rolling mills, three or five
vertically mounted steel rollers rotate in opposite directions.
Under heavy pressure they pulverise the tiny particles of cocoa
and sugar down to a size of approx. 30 microns. (One micron is
a thousandth part of a millimetre.)

Conching
But still the chocolate paste is not smooth enough to satisfy
our palates. But within two or three days all that will have
been put right. For during this period the chocolate paste
will be refined to such an extent in the conches that it will
flatter even the most discriminating palate.

Conches (from the Spanish word "concha", meaning a shell) is the name
given to the troughs in which 100 to 1000 kilograms of chocolate paste at a
time can be heated up to 80 °C and, while being constantly stirred, is given a
velvet smoothness by the addition of certain amounts of cocoa butter. A kind
of aeration of the liquid chocolate paste then takes place in the conches: its
bitter taste gradually disappears and the flavour is fully developed. The
chocolate no longer seems sandy, but dissolves meltingly on the tongue. It
has attained the outstanding purity which gives it its reputation.

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 CHOCOLOGY

People around the world have grown up enjoying chocolate as a favorite

treat for countless generations. But just how much does the average person
really know about the potential benefits, beyond the great taste, that
chocolate and its key ingredient - cocoa - provides? We all know that a bit of
chocolate tends to make you feel good, but a wealth of research suggests that
people can now have even more reasons to enjoy it. The last decade has seen
a significant increase in our research and understanding of cocoa and
chocolate. But understanding the properties of chocolate is not just a recent
development. For centuries, civilizations from Mexico to Europe have
recognized the benefits of cocoa and chocolate for medicinal and therapeutic

21
uses as well as a food, beverage or treat. It has even been hailed as an
aphrodisiac!

Of course, we all need to ensure we don't over indulge and that we see
chocolate as a treat but researchers are continuing to
uncover more reasons to enjoy cocoa and cocoa products.
"Chocology", the science behind chocolate, opens up that
research and presents the facts in an easy to use report
that we hope will be a useful resource when talking about
the benefits that chocolate can offer. Paul
Hebblethwaite
Join us in the exploration of "Chocology" - You may "Professor of
discover that there's more to chocolate than meets the Chocology"
eye. • Reasons to believe
• Body of Evidence - Where can you feel the Benefits?
• Myths and Facts about Chocolate

Cocoa
Long before the current trend towards organic
ingredients, cocoa was one of the best known natural
foods. In its purest form cocoa is a natural food. The
cocoa tree produces cocoa pods that grow from the trunk
or branch of the tree. These pods contain the beans
which characterize the finished chocolate. The cocoa
beans are fermented under banana leaves to bring out the
chocolate flavour and then dried under the tropical sun. Figure 1
They are then shelled and ground to produce chocolate
liquor, an essential ingredient for making chocolate. The
liquor can also be pressed to remove the fat and is cooled and ground to
produce pure cocoa powder.

Many different sorts of products can be derived from cocoa.The husks of

cocoa pods and the pulp, or sweatings, surrounding the beans and the cocoa
bean shells can be used. Some examples of these uses are:

• Animal feed from cocoa husk - As pelletised dry 100% cocoa pod
husk it can be used as an animal feed. The animal feed is produced by

22
 first slicing the fresh cocoa husks into small flakes and then partially
drying the flakes, followed by mincing and pelleting and drying of the
pellets.
• Production of soft drinks and alcohol - In the preparation of soft
drinks, fresh cocoa pulp juice (sweatings) is collected, sterilised and
bottled. For the production of alcoholic drinks, such as brandy, the
fresh juice is boiled, cooled and fermented with yeast. After 4 days
fermentation the alcohol is distilled.
• Potash from cocoa pod husk - Cocoa pod husk ash is used mainly for
soft soap manufacture. It may also be used as fertiliser for cocoa,
vegetables, and food crops. To prepare the ash, fresh husks are spread
out in the open to dry for one to two weeks. The dried husks are then
incinerated in an ashing kiln.
• Jam and Marmalade - Pectin for jam and marmalade is extracted from
the sweatings by precipitation with alcohol, followed by distillation
and recycling of the alcohol in further extractions.
• Mulch - Cocoa bean shells can be used an organic mulch and soil
conditioner for the garden.
Once the beans have been fermented and dried they can be processed to
produce a variety of products. These products include:
• Cocoa butter - Cocoa butter is used in the manufacture of chocolate.
It is also widely used in cosmetic products such as moisturising
creams and soaps.
• Cocoa powder - Cocoa powder can be used as an ingredient in almost
any foodstuff. For example, it is used in chocolate flavoured drinks,
chocolate flavoured desserts such as ice cream and mousse, chocolate
spreads and sauces, and cakes and biscuits.
• Cocoa liquor - Cocoa liquor is used, with other ingredients, to
produce chocolate. Chocolate is used as a product on its own or
combined with other ingredients to form confectionery products.

The quality of cocoa is checked through sampling.

The sampler selects at random a significant percentage of the bags for

inspection and a stabbing iron is used to draw a number of beans from the
selected bags. Or, if the cocoa is in bulk, samples are taken at random from
the beans as they enter a hopper or as they are spread on tarpaulins.

Different authorities may set a differing level of beans/samples for

inspection. The International Standard recommends that the samples should

23
amount to not less than 300 beans for every tonne of cocoa. For bagged
cocoa, samples should be taken from not less than 30% of the bags, and for
bulk cocoa there should be not less than 5 samplings per tonne.

The samples are analysed using the cut test. Most exporting countries'
authorities specify standards dependent on the International Standards
Organization cut test, as do normal physical cocoa contracts. The cut test
provides an assessment of the beans from which analysts may infer certain
characteristics of the cocoa, which gives an indication of quality.

The cut test involves counting off 300 beans. These 300 beans are then cut
lengthwise through the middle and examined. Separate counts are made of
the number of beans which are defective in that they are mouldy, slaty,
insect damaged, germinated or flat. The results for each kind of defect are
expressed as a percentage of the 300 beans examined. The amount of
defective beans revealed in the cut test gives manufacturers an indication of
the flavour characteristics of the beans.

Bean counts are another measure of quality that producing countries often
use, though there is no internationally accepted bean size classification. The
Federation of Cocoa Commerce defines the following method for bean
counts: A sample of not less than 600 grammes of whole beans, irrespective
of size but not including flat beans, will be counted to obtain the number of
beans per 100 grammes.

Further tests are carried out by chocolate manufacturers and cocoa

processors, particularly for beans from origins that are inconsistent in
quality or prone to off flavours. The manufacturer cannot sift out all the
defective beans and so must ensure good quality at the selection stage.
Consistency in quality for the production of cocoa mass cannot be achieved
when using one source of cocoa beans because of the large natural
variability which exists in each lot. The differences can be reduced by
having a number of different types and lots of cocoa beans of known quality
in stock and making an appropriate blend. Strict control of the roasting and
alkalising processes is also required to produce the best quality.

For the chocolate manufacturer the yield of nib is very important, as is the
amount of cocoa butter in the nib. Higher levels of cocoa butter mean that
lower levels will need to be added later on in the manufacturing process. Nib
yields are determined in the laboratory.

24
Flavour is also important for chocolate manufacturers. Flavour
assessment is normally carried out by panels of between five and ten
experienced tasters. Off flavours can readily be detected by tasting
roasted ground nib of cocoa liquor directly or they can be mixed with
sugar and water to make a basic dark chocolate before tasting.
Mouldy and smoky off flavours and excessive bitterness cannot be
removed during processing. Acid tastes can be altered in processing through
neutralisation.

Sub standard beans can be pressed whole to produce expelled cocoa butter
which is then refined. Better quality beans are deshelled before pressing to
produce pure pressed cocoa butter and cocoa press cake (which ultimately
becomes cocoa powder). Chocolate manufacturers have a number of
requirements with respect to the quality of cocoa butter: hardness, melting
and solidifcation behaviour.

Cocoa trade associations and national authorities produce standards or

gradings for cocoa beans covering the bean count per 100g and the
percentage of permitted faults, moisture and foreign matter and the
International Standards Organization provides a specification for cocoa
beans.

25
INDIA PLANS TO INCREASE BY 60%
India plans to increase cocoa production by 60% in next four years to meet
rising demand from the Rs1,500 crore chocolate industry and to cut
dependency on costlier imports, industry officials said.
Chocolate consumption is gaining popularity in the country on increasing
prosperity coupled with a shift in food habits, pushing up the country’s
cocoa imports.
“Production will be around 10,000 tonnes in 2007-08. We are encouraging
farmers for cocoa cultivation. We would produce 16,000 tonnes in 2011-12,”
Venkatesh N. Hubballi, head of Directorate of Cashewnut and Cocoa
Development, told Reuters.
Majority of Indian farmers cultivate cocoa as an intercrop in coconut and
arecanut gardens. The total area under cultivation was 32,360ha in 2006-07.
India’s annual cocoa demand is pegged around 18,000 tonnes during the
current year, which would necessitate import of around 45% of its total
requirement, officials said.
In 2007-08, import of cocoa beans and cocoa products is estimated to jump
fourfold to 8,000 tonnes from 2,027 tonnes in 2000-2001. Industry players
say there is huge scope for expanding acreage considering rising demand
and firm global prices.
To secure good quality raw material in the long term, private players such as
Cadbury India Ltd are encouraging cocoa cultivation.

26
“Cadbury India’s Cocoa Department produces over 2.5 million hybrid
seedlings annually and distributes it among farmers,” a company
spokesperson informed in an email.
Its parent company, Britain’s Cadbury Schweppes Plc. last month said it
would invest £44 million over 10 years in cocoa farms in Ghana, India,
Indonesia and the Caribbean.
Duties and transportation cost make import of cocoa beans expensive.
However, to fulfil demand, the industry mainly imports cocoa butter and
powder, said an senior official with the Central Arecanut and Cocoa
Marketing and Processing Cooperative, a major grinding agency in the
country.
“Cocoa requirement is growing around 15% annually and will reach about
30,000 tonnes in the next 5 years,” Cadbury India said.

CHOCOLATE FACTS
Chocolates have been the most sought after delicacies during festive season.
Offering chocolates on special days like Valentine’s day or Raksha Bandhan
has now become a trend as chocolates form the easiest way of expressing
love. Chocolates have even replaced Mithais, the traditional Indian sweets
among upwardly mobile Indians. Instead of buying sweets on Raksha
Bandhan day, sisters prefer offering chocolates to their brothers. One of the
reasons for the increasing demand of chocolates is the impact of
advertisements that triggered the minds of the masses. Marketing campaigns
by leading chocolate vendors such as Nestle and Cadbury's to popularise
chocolates as gift items seem to have helped. The range and variety of
chocolates available in malls seem to be growing day by day, which
accelerated sales for chocolate companies.

The per capita consumption of chocolate in India is 300 gram compared with
1.9 kg in developed markets such as the United Kingdom. Over 70% of the
consumption takes place in the urban market in India.

There are special shops devoted to chocolate lovers with different varieties
and flavours of chocolates. To learn more about chocolates one must first
know where they come from.

Chocolate starts with a tree called the cacao tree (Theobroma cacao). This

27
tree grows in equatorial regions, especially in places such as South America,
Africa and Indonesia. The cacao tree produces a medium sized fruit. Inside
the fruit are the seeds, also known as cocoa beans. The beans are fermented
for about a week, dried in the sun and then shipped to the chocolate maker.
The chocolate maker starts by roasting the beans to bring out the flavor.
Beans from different places have different qualities and flavours, so they are
often sorted and blended to produce a distinctive mix. Next, the roasted
beans are winnowed. Winnowing removes the meat (also known as the nib)
of the cocoa bean from its shell. Once roasted, winnowed and blended, the
nibs are ground, and the ground nibs form a viscous liquid called chocolate
liquor. All seeds contain some amount of fat, and cocoa beans are no
different. However, cocoa beans are half fat, which is why the ground nibs
form a liquid.

Chocolate liquor is pure, unsweetened chocolate is bitter in taste. You can

do two different things with chocolate liquor. You can pour it into a mold
and let it cool and solidify.

This is unsweetened chocolate. Or you can press it in a hydraulic press to

squeeze out the fat. When you do that, what you are left with is a dry cake of
the ground cocoa bean solids and cocoa butter (useful in everything from
tanning products to white chocolate). If you grind the cake, you have cocoa
powder. One can buy both unsweetened chocolate (baking chocolate) and
pure cocoa powder at the grocery store. What you are buying is ground
cocoa beans, either with or without the cocoa butter.

There are three basic things that must be done by the chocolate maker to
make a chocolate bar-
■ Adding ingredients - The chocolate that we eat contains sugar, other
flavors (like vanilla) and often milk (in milk chocolate). The chocolate
maker adds these ingredients according to his or her secret recipe.
■ Conching - A special machine is used to massage the chocolate in order to
blend the ingredients together and smoothen it out. Conching can take
anywhere from two to six days.
■ Tempering - Tempering is a carefully controlled heating
process.Tempering is "a process where the chocolate is slowly heated, then
slowly cooled, allowing the cocoa butter molecules to solidify in an orderly
fashion." Without tempering, the chocolate does not harden properly or the
cocoa butter separates out (as cream separates from milk).
These three steps, along with the blend of cocoa beans chosen at the start

28
and the way they are roasted, form the art of chocolate making.
Those who enjoy different flavours of chocolates can identify the origin of
the beans that are used in its making. Like coffee or wine, people enjoy
chocolates according to their tastes. Chocolates should be kept at a
temperature of 66-76 degree F to retain their taste and flavour.

TYPES OF CHOCOLATES

Types of chocolate
Main article: Types of chocolate

A half beat of milk chocolate with salmiakki filling by Fazer

Alongside milk chocolate, white chocolate and dark chocolate are also
common chocolate varieties.
White chocolate is formed from a mixture of sugar, cocoa butter, and milk
solids. Although its texture is similar to milk and dark chocolate, it does not
contain any cocoa solids; thus not officially qualifying as true chocolate.
Because of this, many countries do not consider white chocolate as
chocolate at all. Although first introduced by Hebert Candies in 1955, Mars,
Incorporated was the first to produce white chocolate within the United
States. Because it does not contain any cocoa solids, one benefit of white

29
chocolate is that it also does not contain any theobromine, meaning it can be
consumed by animals.
Dark chocolate is produced by adding fat and sugar to the cacao mixture.
The U.S. Government calls this "sweet chocolate", and requires a 15%
concentration of chocolate liquor. European rules specify a minimum of
35% cocoa solids. Dark chocolate, with its high cocoa content, is a rich
source of the flavonoids epicatechin and gallic acid, which are thought to
possess cardioprotective properties. Dark chocolate has also been said to
reduce the possibility of a heart attack when consumed regularly in small
amounts.[ Semisweet chocolate is a dark chocolate with a low sugar content.
Bittersweet chocolate is chocolate liquor to which some sugar (typically a
third), more cocoa butter, vanilla and sometimes lecithin have been added. It
has less sugar and more liquor than semisweet chocolate, but the two are
interchangeable in baking.
Unsweetened chocolate is pure chocolate liquor, also known as bitter or
baking chocolate. It is unadulterated chocolate: the pure, ground, roasted
chocolate beans impart a strong, deep chocolate flavor.Sugar or sucrose
gives taste, texture and sensory appeal to chocolate. Replacing sucrose with
the naturally occurring fruit sugar, fructose, produces chocolate with a
different texture and sweetness to sugared chocolate.

In order to produce a sugar free chocolate with similar taste and texture to
sugared chocolate one can use sugar alcohols, such as sorbitol, mannitol,
isomalt, maltitol, lactitol and xylitol, to give chocolate mass, volume and
texture. Sugar alcohols are generally of a different sweetness and taste to
sucrose and so they tend to be used in combination with bulking agents such
as polydextrose and inulin. These bulking agents produce a warm soft
feeling in the mouth. The sweetness can be improved by using high intensity
sweeteners such as Sunett, aspartame, cyclamate and saccharin.

Production methods may have to be altered to produce sugar free chocolate.

For example, some of the sweeteners have lower melting points and so
conching temperatures will have to be lower, also, some pick up moisture
causing an increase in viscosity during tempering and moulding.

30
Production

Figure 2

Chocolate is created from the cocoa bean. A cacao tree with fruit pods in
various stages of ripening
Roughly two-thirds of the entire world's cocoa is produced in Western
Africa, with 43% sourced from Côte d'Ivoire. According to the World Cocoa
Foundation, some 50 million people around the world depend on cocoa as a
source of livelihood. The industry is dominated by three chocolate makers,
Barry Callebaut, Cargill and Archer Daniels Midland Company. In the UK,
99.999% of chocolatiers, whether they be large companies such as Cadbury
Schweppes or small independents, purchase their chocolate from them, to

31
melt, mold and package to their own design. Despite some disagreement in
the EU about the definition, chocolate is any product made primarily of
cocoa solids and cocoa fat. The different flavors of chocolate can be
obtained by varying the time and temperature when roasting the beans, by
adjusting the relative quantities of the cocoa solids and cocoa fat, and by
adding non-chocolate ingredients.
Production costs can be decreased by reducing cocoa solid content or by
substituting cocoa butter with a non-cocoa fat. Cocoa growers object to
allowing the resulting food to be called "chocolate", due to the risk of lower
demand for their crops.
There are two main jobs associated with creating chocolate candy, chocolate
makers and chocolatiers. Chocolate makers use harvested cacao beans and
other ingredients to produce couverture chocolate. Chocolatiers use the
finished couverture to make chocolate candies (bars, truffles, etc.).
Cacao varieties
Cacao trees are small, understory trees that need rich, well-drained soils.
They naturally grow within 20 degrees of either side of the equator because
they need about 2000 millimeters of rainfall a year, and temperatures in the
range of 21 to 32 degrees Celsius. Cacao trees cannot tolerate a temperature
lower than 15 degrees Celsius (59 degrees Fahrenheit).
The three main varieties of cacao beans used in chocolate are criollo,
forastero and trinitario.
Representing only five percent of all cocoa beans grown, criollo is the rarest
and most expensive cocoa on the market and is native to Central America,
the Caribbean islands and the northern tier of South American states. There
is some dispute about the genetic purity of cocoas sold today as Criollo, as
most populations have been exposed to the genetic influence of other
varieties. Criollos are particularly difficult to grow, as they are vulnerable to
a variety of environmental threats and produce low yields of cocoa per tree.
The flavor of Criollo is described as delicate yet complex, low in classic
chocolate flavor, but rich in "secondary" notes of long duration.
The most commonly grown bean is forastero, a large group of wild and
cultivated cacaos, most likely native to the Amazon basin. The African
cocoa crop is entirely of the Forastero variety. They are significantly hardier
and of higher yield than Criollo. The source of most chocolate
marketed,forastero cocoas are typically strong in classic "chocolate" flavor,
but have a short duration and are unsupported by secondary flavors,
producing "quite bland" chocolate.[
Trinitario is a natural hybrid of Criollo and Forastero. Trinitario originated
in Trinidad after an introduction of Forastero to the local Criollo crop.

32
Nearly all cacao produced over the past five decades is of the Forastero or
lower-grade Trinitario varieties.

33
Figure 3

In the above picture the dark brown colour picture is coco produced is most
of the aeras.
But here excatly can be grown only that area.

34
Harvesting:

Harvesting cacao beans is a delicate process. First, the pods containing cacao
beans, are harvested by cutting the pods from the tree using a machete, or by
knocking them off the tree using a stick. The beans with their surrounding
pulp are removed from the pod and placed in piles or bins to ferment. The
fermentation process is what gives the beans their familiar chocolate taste. It
is important to harvest the pods when they are fully ripe because if the pod is
unripe, the beans will have a low cocoa butter content, or there will be
insufficient sugars in the white pulp for fermentation resulting in a weak
flavor. After fermentation, the beans must be quickly dried to prevent mold
growth. Climate and weather permitting, this is done by spreading the beans
out in the sun from 5 to 7 days.
Chocolate liquor
The dried beans are transported from the plantation where they were grown
to a chocolate manufacturing facility. The beans are then cleaned (removing
twigs, stones, and other debris), roasted, and graded. Next the shells are
removed to extract the nib. Finally, the nibs are ground which releases and
melts the cocoa butter producing chocolate liquor.

Figure 4

Chocolate made with enough cocoa butter flows gently over a

chocolate fountain to serve dessert fondue.

35
Blending

Chocolate liquor is blended with the cocoa butter in varying quantities to

make different types of chocolate or couvertures. The basic blends of
ingredients for the various types of chocolate (in order of highest quantity of
cocoa liquor first), are as follows:

Dark chocolate: sugar, cocoa butter, cocoa liquor, and (sometimes) vanilla

Milk chocolate: sugar, cocoa butter, cocoa liquor, milk or milk powder, and
vanilla

White chocolate: sugar, cocoa butter, milk or milk powder, and vanilla
Usually, an emulsifying agent such as soy lecithin is added, though a few
manufacturers prefer to exclude this ingredient for purity reasons and to
remain GMO free, sometimes at the cost of a perfectly smooth texture. Some
manufacturers are now using PGPR, an artificial emulsifier derived from
castor oil that allows them to reduce the amount of cocoa butter while
maintaining the same mouthfeel.
The texture is also heavily influenced by processing, specifically conching
(see below). The more expensive chocolate tends to be processed longer and
thus have a smoother texture and "feel" on the tongue, regardless of whether
emulsifying agents are added.
Different manufacturers develop their own "signature" blends based on the
above formulas, but varying proportions of the different constituents are
used.
The finest, plain dark chocolate couvertures contain at least 70% cocoa (both
solids and butter), whereas milk chocolate usually contains up to 50%. High-
quality white chocolate couvertures contain only about 33% cocoa.
Producers of high quality, small batch chocolate argue that mass production
produces bad quality chocolate. Some mass-produced chocolate contains
much less cocoa (as low as 7% in many cases) and fats other than cocoa
butter. Vegetable oils and artificial vanilla flavor are often used in cheaper
chocolate to mask poorly fermented and/or roasted beans.
In 2007, the Chocolate Manufacturers Association in the United States,
whose members include Hershey, Nestlé, and Archer Daniels Midland,
lobbied the Food and Drug Administration to change the legal definition of
chocolate to let them substitute partially hydrogenated vegetable oils for

36
cocoa butter in addition to using artificial sweeteners and milk substitutes.
Currently, the FDA does not allow a product to be referred to as "chocolate"
if the product contains any of these ingredients.

Conching

Figure 5

various chocolate-making machinery

The penultimate process is called conching. A conche is a container filled
with metal beads, which act as grinders. The refined and blended chocolate
mass is kept in a liquid state by frictional heat. Chocolate prior to conching

37
has an uneven and gritty texture. The conching process produces cocoa and
sugar particles smaller than the tongue can detect, hence the smooth feel in
the mouth. The length of the conching process determines the final
smoothness and quality of the chocolate. High-quality chocolate is conched
for about 72 hours, lesser grades about four to six hours. After the process is
complete, the chocolate mass is stored in tanks heated to approximately 45–
50 °C (113–122 °F) until final processing.

Tempering:

The final process is called tempering. Uncontrolled crystallization of cocoa

butter typically results in crystals of varying size, some or all large enough
to be clearly seen with the naked eye. This causes the surface of the
chocolate to appear mottled and matte, and causes the chocolate to crumble
rather than snap when broken. The uniform sheen and crisp bite of properly
processed chocolate are the result of consistently small cocoa butter crystals
produced by the tempering process.
The fats in cocoa butter can crystallize in six different forms (polymorphous
crystallization). The primary purpose of tempering is to assure that only the
best form is present. The six different crystal forms have different properties.

Melting
Crystal Notes
Temp.
I 17 °C (63 °F) Soft, crumbly, melts too easily.
II 21 °C (70 °F) Soft, crumbly, melts too easily.
III 26 °C (78 °F) Firm, poor snap, melts too easily.
IV 28 °C (82 °F) Firm, good snap, melts too easily.
Glossy, firm, best snap, melts near body temperature
V 34 °C (94 °F)
(37 °C).
VI 36 °C (97 °F) Hard, takes weeks to form.
Making chocolate considered "good" is about forming as many type V
crystals as possible. This provides the best appearance and texture and
creates the most stable crystals so the texture and appearance will not
degrade over time. To accomplish this, the temperature is carefully
manipulated during the crystallization.

38
Generally, the chocolate is first heated to 45 °C (115 °F) to melt all six
forms of crystals.[ Next, the chocolate is cooled to about 27 °C (80 °F),
which will allow crystal types IV and V to form. At this temperature, the
chocolate is agitated to create many small crystal "seeds" which will serve as
nuclei to create small crystals in the chocolate. The chocolate is then heated
to about 31 °C (88 °F) to eliminate any type IV crystals, leaving just type V.
After this point, any excessive heating of the chocolate will destroy the
temper and this process will have to be repeated. However, there are other
methods of chocolate tempering used. The most common variant is
introducing already tempered, solid "seed" chocolate. The temper of
chocolate can be measured with a chocolate temper meter to ensure accuracy
and consistency. A sample cup is filled with the chocolate and placed in the
unit which then displays or prints the results.
Two classic ways of manually tempering chocolate are:
Working the molten chocolate on a heat-absorbing surface, such as a stone
slab, until thickening indicates the presence of sufficient crystal "seeds"; the
chocolate is then gently warmed to working temperature.
Stirring solid chocolate into molten chocolate to "inoculate" the liquid
chocolate with crystals (this method uses the already formed crystal of the
solid chocolate to "seed" the molten chocolate).
Chocolate tempering machines (or temperers) with computer controls can be
used for producing consistently tempered chocolate, particularly for large
volume applications.

39
cocoa butter is the fat in the cacao bean that gives chocolate its
unique mouth-feel and stable properties. To be considered “real”
chocolate, a chocolate bar or chunk can contain only cocoa butter,
not any other fat. Cocoa butter is the reason why you have to
“temper” real chocolate. Cocoa butter is fat that is composed of three
to four glycerides of fatty acids. What complicates matters in
chocolate making is that each of these different fatty acids solidifies
at a different temperature. Once you melt a chocolate bar, the fatty
acid crystals separate. The objective in tempering melted chocolate is
to entice the disparate fatty acid crystals of cocoa butter back into
one stable form.

Tempering is like organizing individual dancers at a party into a

Conga line. For chocolate, temperature and motion are the party
organizers that bring all the individual dancing crystals of fatty acids
together in long lines and, in the process, create a stable
crystallization throughout the chocolate mass.

Also, strange as it may sound, the temperature at which well-

tempered chocolate melts is much higher than untempered chocolate
because the fatty acid crystals in tempered chocolate are locked
together tightly — it takes a higher temperature to pull them apart.
Being tightly bound, well-tempered chocolate is resistant to
developing chocolate bloom — that whitish film, streaks or spots of
cocoa butter that form on the surface of chocolate.

In the tempering process, melted chocolate is first cooled, causing

the fatty acid crystals to form nuclei around which the other fatty
acids will crystallize. Once the crystals connect, the temperature is
then raised to keep them from solidifying.

To help the chocolate to crystallize during the tempering process,

chocolate makers use one technique called seeding. The "seed" is
tempered chocolate in hunks, wafers or grated bits. It is added at the
beginning of the tempering process. These crystals of tempered
chocolate act like magnets, attracting the other loose crystals of fatty
acids to begin the crystallization process that results in well-
tempered chocolate.

40
Learning to Temper Real Chocolate

Temper by Seeding is the easiest and quickest way to temper

chocolate. You will need: Microwave (or double boiler), microwave-
safe bowl, spatula for stirring and a good thermometer that has a
range as low as 70° F (21° C).

I suggest you have at least twenty-four ounces (680 g) of chocolate

when you start to temper. I know it sounds like a lot and a big
monetary commitment but this amount gives you enough to work
with when you are dipping or molding. Also, it is much easier to
control temperatures and not overheat when you have a mass of
chocolate. You can re-temper or reuse any of the chocolate you have
left over so the extra won’t be wasted. At my shop, au Chocolat, we
sold our bulk chocolate in one-pound (454 g) round bars so I could
easily show that a one-pound (16 ounce) puddle of melted chocolate
only came up about an inch in the bowl. Step 1. You need to heat the
chocolate to melt all fatty acid crystals. Chop the chocolate into
small pieces. The smaller the pieces, the quicker your chocolate will
melt and temper. Set aside about 25 - 30 percent of the chocolate.
There is no need to be exact on this measurement, as you just want
enough unmelted, tempered chocolate to start the seeding process.

Place the remaining 70 - 75 percent of chopped chocolate in a

microwave-safe bowl and microwave on half-power, being very
careful to stir the mixture every minute until it is almost completely
melted, which should take about four to five minutes.

Remove the bowl of chocolate from the microwave and stir to cool it
slightly. Removing the bowl before all the chocolate is completely
melted will help prevent over heating. You don’t want your
chocolate to burn. Those last bits of solid chocolate will melt as you
stir. Using a thermometer, check the temperature of the melted
chocolate — it should be between:

• Dark Chocolate: 114-118° F (46-48° C)

• Milk Chocolate: 105-113° F (40-45° C)
• White Chocolate: 100-110° F (37-43° C) Note: be very careful
as the high milk and sugar content in white chocolate will

41
 cause it to burn easily.

I’ve indicated a range of temperatures above as not all thermometers

are perfectly accurate.

Step 2 - Add seed chocolate you have set aside.

Start adding handfuls of the grated chocolate you set aside to the
melted chocolate. Stir in the seeding chocolate bits continuously
until the desired temperature (see below) is reached and the bits have
dissolved completely. This could take anywhere from ten to fifteen
minutes depending on the temperature of your environment. Your
chocolate should now be tempered.

• Dark chocolate should be between 88 - 89° F (31° C)

• Milk and white chocolates should be between 84 - 86° F (29-
30° C)

Make sure to stir the tempered chocolate and check the temperature
during the time you are using it for dipping or molding. You can put
the tempered chocolate mass in the microwave for 10 - 15 seconds at
half-power if the temperature starts to drop. Just make sure that you
don’t raise the temperature above 90° F (32° C) or you will lose your
temper and have to start over again at Step 1.

A heating pad put around the bottom and sides of the bowl will help
if you are doing a lot of work at one time. Again, make sure the
heating pad doesn’t raise the temperature of the chocolate too high.
Keep stirring and checking the chocolate mass with a thermometer.

About Chocolate Seize

This is when your melted chocolate mass becomes a paste that is
grainy, dull, and thick. There are two conditions that bring about
chocolate seize:

Water
Chocolate is made up of dry ingredients (cocoa solids, sugar, and
possibly milk powder) suspended in cocoa butter. A small drop of
liquid will moisten the dry ingredients and allow the cocoa solids to

42
clump together and separate from the cocoa butter. Remember the
old saying that oil and water don't mix. This is why you never cover
a pot of chocolate with a lid (because the steam will condense and
drop into the chocolate) and why you need to be very careful when
using a double boiler. If this happens, the chocolate will not temper,
but it doesn’t have to go to waste; it can be used in baking or truffle
centers. Interestingly, if you add in more liquid to the chocolate (a
minimum of one tablespoon of liquid per ounce of chocolate), the
melted chocolate will remain in a liquid state because the dry
particles get saturated by the moisture and detach from each other.
They then are suspended in the liquid again so the chocolate mass is
back to a liquid form. You'll find this technique used to make
chocolate sauces and syrups or for flavoring cakes and pastries.

Heat
Overheating separates the cocoa solids and other dry ingredients
from the cocoa butter. Chocolate solids and dry ingredients will burn
if heated to 130 degrees. The result is a dry, discolored paste. There’s
no retrieving burnt chocolate, so be very careful when heating in a
double boiler or microwave.

Storing:

Molten chocolate and a piece of a chocolate bar

Chocolate is very sensitive to temperature and humidity. Ideal storage
temperatures are between 15 and 17 °C (59 to 63 °F), with a relative

43
humidity of less than 50%. Chocolate should be stored away from other
foods as it can absorb different aromas. Ideally, chocolates are packed or
wrapped, and placed in proper storage with the correct humidity and
temperature. Additionally chocolate should be stored in a dark place or
protected from light by wrapping paper. Various types of "blooming" effects
can occur if chocolate is stored or served improperly. If refrigerated or
frozen without containment, chocolate can absorb enough moisture to cause
a whitish discoloration, the result of fat or sugar crystals rising to the
surface. Moving chocolate from one temperature extreme to another, such as
from a refrigerator on a hot day can result in an oily texture. Although
visually unappealing, chocolate suffering from bloom is perfectly safe for
consumption.
Unsweetened chocolate is pure chocolate liquor, also known as bitter or
baking chocolate, mixed with some form of fat to produce a solid substance.
It is unadulterated chocolate: the pure, ground, roasted chocolate beans
impart a strong, deep chocolate flavor. With the addition of sugar, however,
it is used as the base for cakes, brownies, confections, and cookies.

Dark chocolate is produced by adding fat and sugar to cocoa. It is chocolate

without milk as an additive. It is sometimes called "plain chocolate."

Milk chocolate is chocolate with milk powder or condensed milk added.

White chocolate is a confection based on sugar and fat (either cocoa butter
or vegetable oils) without the cocoa solids.

Chocolate making is a special art and requires skill. Chocolate making not
necessarily requires a long procedure. In today's modern lifestyle everything
has become convenient and easy. Ami Dalmaali supplies her chocolates to
multinational companies and banks. She shares with us her wonderful
experience with chocolates.

55mi collects readymade raw chocolates (Belgium, Madagascar) called

"chocolate slabs" from Crow ford Market, Mumbai. Melts the chocolate
slabs under definite temperature. Adds fresh cashew nuts, almonds,
hazelnuts and then moulds the chocolates to give it characteristic shape and
sizes. The chocolate is finally dressed to make it look more attractive and
ready to serve. She believes chocolate making is very interesting and

44
creative. Experimenting with new flavours, giving your chocolate a new
look every time is a challenging job.

Chocolate products should be stored in areas that are:

• Free from odours

• Well ventilated
• With a temperature of 65oF to 68oF
• At a relative humidity below 50%
• Away from walls and floors
• Out of direct sunlight

Problems caused by poor storage include sugar bloom and fat bloom

Sugar bloom makes the surface of the chocolate appear gray, covered in a
thin layer of sticky syrup or covered with sugar crystals. It is caused by the
dissolving of sugar from the chocolate by surface moisture, which eventually
dries off leaving sugar crystals. One of its causes is storage in damp
conditions. Chocolate will absorb moisture on the surface if stored in air at a
relative humidity above 82% to 85% for dark chocolate or above 78% for
milk chocolate. Impervious packaging will give protection, but overlapping
wrapping will allow penetration of water at the folds or corners and the
sugar bloom will appear near these points. It can also be caused by the
removal of chocolate from cold storage without adequate wrapping
protection. When chocolate has been stored below 10oC moisture will be
deposited on the surface if it is brought out into normal atmosphere. When
removing chocolate from cold storage it either needs to be transferred to a
room with fairly dry air or needs to be covered until it has attained the same
temperature as the outside air. Filled chocolates when contained in
impervious packaging will, under warm storage conditions, produce a high
humidity within the wrapping and this can cause diffusion of the syrup from
the centre to the surface which results in sugar bloom.

Fat bloom also makes the surface of the chocolate appear gray but it is
made up of minute fat crystals. One of its causes is warm storage. The
formation of fat bloom is related to the changes in structure of cocoa butter
at different temperatures.

45
 Chocolate packaging

Chocolate packaging is the most important part in the process of

manufacturing. There are various types of chocolate wrappers are available
in the market as we have seen in the storing process chocolate is very much
delicate and need to be stored in well condition as well as in well boxes and
packets for that plastic can be the most suitable one but normal paper
wrappers are also suites to it. Designer silver wrapper is best suitable
wrapping option for the chocolate.

Figure 6

46
INDIAN MARKET FACTS OF 2008

Facts & Figures

1. Chocolate market is estimated to be around 1500 cores (ACNielson)

growing at 18-20% per annum

2. Cadbury is the market leader with 72% market share

3. The per capita consumption of chocolate in India is 300 gram compared

with 1.9 kilograms in developed markets such as the United Kingdom

4. Over 70 per cent of the consumption takes place in the urban markets

5. Margins in the chocolate industry range between 10 and 20 per cent,

depending on the price point at which the product is placed.

6. Chocolate sales have risen by 15% 36000 tones according to one estimate.
Another estimate puts the figure at 25000 tones.

7. The chocolate wafer market (Ultra Perk etc) is around 35 % of the total
chocolate market and has been growing at around 13% annually.

8. As per Euro monitor study, Indian candy market is currently valued at

around USD 664 million, with about 70%, or USD 461 million, in sugar
confectionery and the remaining 30%, or USD 203 million, in chocolate
confectionery.

9. Entire Celebrations range market share is 6.5%

10. The global chocolate market is worth $75 billion annually

47
Companies

1. The chocolate market in India has only three big players, Cadbury, Nestle
and Amul

2. New brands such as Sweet World, Candico and Chocolatiers are present
in several malls

3. The largest target segment for Cadbury is youth

4. Delhi-based Chocolatiers, started with a small shop in south Delhi’s

Chittaranjan Park and has now ventured into malls and multiplexes in NCR,
Mumbai and Bangalore, with focus on high-end or designer chocolates, a
niche market of their own.

5. Candico India is aiming for 400 locations across malls and multiplexes in
the country by 2010.

Companies & Brands

1. Cadbury - Cadbury, 5 Star, Bytes (chocolate snack), Celebration, Dairy

Milk, Gems, Perk

2. Nestle - Bar One, Kit Kat, Milkybar, Munch, Nestle

3. Amul - Amul (Chocozoo, Chocomines)

4. Dairy Milk is the market leader

5. 5 Star (heritage brand which came to India in 1969) has a market share of
over 14%

48
Consumer Trends

1. Mithai- the traditional Indian sweats is getting substituted by chocolates

among upwardly mobile Indians. Instead of buying sweats on Raksha
Bandhan, sisters prefer offering chocolates to their brothers. This is the
reason for sudden spurt in advertisement
between July & Sep by most of the companies

Figure 7

2. The range and variety of chocolates available in malls seems to be

growing day by day, which leads to lot of impulse sales for chocolate
companies

3. Chocolates which use to be unaffordable, is now considered mid-priced.

Convenience over Mithai in terms of packaging and shelf life in making
both middle class and rich Indians opt for chocolates

4. Designer chocolates have become status symbols. They are linked to

one’s aspiration and lifestyle and malls are perfect points of sale as people
usually are happy and gay at these destinations

49
5. Cadbury initial communication for Celebrations was concentrated on
occasions like Diwali and Rakshabandhan. Over the last seven to eight
years, the brand emerged as a good gift proposition for occasions and
enabled people to come closer. Research done by Cadbury suggested that
they should extend the plank of occasion-based gifting to social gifting i.e.
all-year-round gifting options

6. Consumers can choose from wide range of chocolates, which initially was
limited to Milk chocolates like DairyMilk and MilkyBar. In past few years
we have seen so many SKUs with almonds, raisins and all sort of nuts. And
how can we forget latest 5 star crunchy and Ulta Perk, which has opened
new windows for consumers

7. In past, consumers had negligible inclination for dark chocolates. But now
we have seen a change in the Indian palate, which is increasing the base of
this sub-segment

50
Advertisement Trends (Media Research)

1. Chocolate advertising rose by 30 per cent during January-November 2007

compared to January-November 2006

2. Maximum chocolate advertising was during Raksha Bandhan across 2005

and 2006 and January-November 2007.

3. As expected chocolate advertising skewed towards kids channels and

regional GEC took the second position.

4. Cadbury India Ltd rules chocolate advertising on television.

5. 17 per cent more advertising during third quarter 2007 (Raksha Bandhan
festival) compared to first quarter 2007.

6. Regional GEC took the second place with a 21 per cent share ad volumes
of chocolates, followed by Hindi movie with 13 per cent share during
January-November 2007.

7. Among regional GEC, maximum advertising of chocolates was on

Malayalam and Bengali channels.

8. Cadbury India Ltd was way ahead of its peers with 66 per cent share
followed by Nestle India Ltd and Parle Products Pvt Ltd during January-
November 2007.

9. During January-November 2007 the number of new chocolate brands

advertised decreased to seven from 12 during 2006.

10. Nestle Munch Pop Chocolate led the chart of new chocolate brands
advertised on television during January-November 2007.

51
Some Activities

1. Cadbury India has tied up with leading coffee chain Café Coffee Day for
direct sampling of the product in top cities

External Environment

1. The prices of cocoa and milk, the chief ingredients used in chocolates,
have gone up by 50 per cent, while the price of sugar, another important raw
material, has come down. The overall input costs have gone up by 20 per
cent. If the prices of these commodities keep increasing, companies will be
forced to increase the prices. India imports most of its cocoa requirements.
The prices of cocoa have risen globally due to unavailability of the
commodity

2. US-based chocolate-maker Hersheys is mulling a foray into the Indian

chocolate market through its joint venture with Godrej

52
 CADBURY INDIA TODAY

• Index stock on BSE and NSE.

• Rs. 15 billion market capitalization.
• 48,000 + shareholders.
• 1,900 + employees
• Rs. 5,711 million sales in 2000 :
1. 76% Confectionery
2. 24% Food Drinks.
3. Rs. 1,069 million PBDIT
4. Rs. 2,345 million total assets.

Consumer - Growth Opportunities

• Impulse snacking is an Indian habit.

• Attitude and disposable income changes are favourable to impulse
foods.
• Large youth population, 47% of urban India is growing dominant
chocolate consuming segment.
• Child and gifting segments expected to grow at faster rate.
• Current low penetration of Chocolates ,22% adults in urban India.

Ref:- Cadbury Indian limited website

53
Creating Value in Future

• Effectively managing growth drivers

1. Gifting Child Connectivity and low end VFM.
2. New channels.

Optimizing manufacturing efficiencies.

• Competitiveness in logistics and distribution using IT.

• Exploiting mass media to create / maintain large brands.

10+% Advertising / Sales.

Cocoa Beans

• About half of requirements bought locally.

• "Forward" purchases in case of imports.
• "Cash on delivery" purchases locally
1. Purchase Price declared by CIL, giving fair price to
farmer.
2. Long term relationship

• Local cocoa area development in progress

1. Expansion
2. Better yields

Chocolate Imports

• Greater presence of imported products

• Low volume high trade margin segment
• Reducing restrictions and duties
• Threat as well as opportunity.
• CS International portfolio being evaluated.

54
Our Vision

• Cadbury in every pocket

• Superior shareholder value.

This Requires

• Broadening our consumer appeal and extending our reach to newer

markets.
• Sustained growth of our market share through aggressive product
development.
• Striving for international quality in our products and processes.
• Focusing on cost competitiveness, productivity and innovative
utilization of assets.
• Energizing and developing our people.

GIRISH M BHAT, DIRECTOR ( FINANCE & COMMERCIAL)

Market Share

Chocolates 69.2%

Sugar Confectionery 4.0%

Food Drinks 14.2%

55
CIL in relation to Competition

• Stronger brands in Chocolates

• Defining Chocolate taste
• Dominant Chocolate market shares
• First mover advantage
• Established distribution network.
• Aggressive market development

• Sugar Brand portfolio one among many

1. though dominant in Éclairs category
2. very strong price led competition

• Only one player (Nestle) who competes across all categories.

• Concentrated advertising campaign to ensure positioning and recall.

Increasing market share through

• Broadening consumer appeal

1. 4,50,000 outlets
2. 2,100 + distributors.
3. Strategy aimed at fostering new users
4. 8 million new consumers added in 2000.

• Total now above 60 million

• Aggressive product development.

56
 OVERALL FUTURE STRATEGY

• Focus on maintaining dominance on Chocolate Confy market and

leadership in Brown Drinks.
• New growth drivers in new Choc consumer segments like Gifting,
Child connectivity, low end VFM and new channels.
• Grow sales volume around 10% p.a. (avg) over next 3 years..
• Launch of one new major product every year.
• Dominated by branded players
•

Market Statistics – Chocolates

Market Size (Volume) 22,500 tpa

Growth Rate (last 3 years) 12% p. a.

Cadbury's share 69.2%

Focus areas for growth

• Impulse snacking
• Child connectivity
• Gifting
• New channels & Institutional sales
• Further improve quality of products.

• Optimum utilization of distribution network and reach

• Introduce technologically differentiated value added sugar products
• Focus on quality and packaging
• Regular introduction of variants.

57
Current scenario

• No. 2 in food drinks market.

• Positioned on platform of 'taste and energy'.
• Associated with children through programs such as 'Bournvita Quiz
Contest'.

Reaching one step up

• Extend positioning of 'taste and energy' to adults.

• Continue programs for associations with kids.
• Increase association with kids through website 'bournvita.com'
1. Games
2. Education and information.

Plans for near term future

• Increase share in impulse category

• Introduce new product offerings to grow overall business.
• Enhance Chocolate Confectionery products offer to drive growths in
wider consumer segments.
• Introduce differentiated value added Sugar Confectionery products.
• Enhance share in Food Drinks market.
• High focus on Economic Profit

• To evaluate Company and Brands performance :

Drive low cost manufacturing Reduction in manufacturing costs

Supply chain efficiencies ,Further reduction in material costs.
Increase trading margin Increase utilization of assets Brands and
production capabilities, Further improvement in working capital
norms. Effective use of properties Use of Information Technology for
business improvement and reducing costs. Web enabled SCM.
Enhancing organizational capability through people Training and
development Sharpening culture workshops Performance linked
incentives for managers People care index measurement.

58
Some recent business improvement projects

• In house projects teams of senior managers have been working closely

with CS Group and some well known consultants to
1. Identify new growth opportunities
2. Improve manufacturing costs and supply chain processes.
3. Effectively use of information technology.

59
 QUESTION & ANSWER SESSION

• Company is cutting down costs so that it would like to be best in class

when compared to world class companies so that it would like to
internationally cost competitive in next 3 years even at zero import
duty from current level of 50%.

• Business challenge is non-improvement in domestic market and

increasing material costs. If this happens, margins will fall.

• International products are imported by under-invoicing so as to reduce

import duty. This has created low imported product costs when
compared to locally manufactured goods.

• Cocoa is important raw material for company. 40-50% is imported

while balance is locally procured.

• Other brands except Cadbury Diary Milk has not grown that well.

• In sugar confectionery also except Éclair, none of new launches in last

3 years have fared well.

60
 FUTURE PLANS OF CADBURY INDIA

Company wants to source all the cocoa for its Indian products from within
the country.

The company has plans to increase acreage for cocoa cultivation. The
increase in acreage will involve a tripling of investments in contract farming
and in five years it wants to source cocoa for domestic production entirely
from India.

Here is a transcript of Sagar Malviya and Sandeep Srikanth's comments

on CNBC-TV18. Also watch the accompanying video.

India produced about 10,000 tonne of cocoa in 2007–08, with annual

demand of about 18,000 tonne. Cadbury India which already procures 5,000
tonne of cocoa through contract farming now wants that number to increase.

Sanjay Purohit, Executive Director-Marketing, Cadbury India said, “We

have identified areas in Andhra Pradesh and Tamil Nadu, and are working
with governments there to improve the acreage for cocoa cultivation.”

The increase in acreage will involve a tripling of investments in contract

farming and in five years it wants to source cocoa for domestic production
entirely from India.

The Indian chocolate market is growing at 20% annually and Cadbury,

which has 71% market share, presently, sources half of its cocoa
requirements from other countries. It is importing cocoa from Ghana for a
new range of dark chocolate under the name Bournville, which it has
introduced in India. The company says this new brand, to be sold mainly
through modern retailers, will be a platform to launch more products from its
international range.

All this is being done in an effort to preserve market share which is now
being targeted by many global competitors who are coming in.

61
 NESTLE INDIA

NEW DELHI: Swiss FMCG major Nestle is expanding its chocolate

portfolio in India with an aim to strengthen its market share in the estimated

Rs
1,900-crore chocolate market in the country.

"Our current market share is over 27 per cent and we will continue to strive
to enhance our position," Nestle India General Manager (Chocolate and
Confectionery) Stewart Dry burgh said.

The company, which currently offers six brands of chocolates - Munch, Kit
Kat, Milky bar, Milk Chocolate, Bar One and Selection, has added two more
variants to its popular Kit Kat range to boost the growth momentum.

"The chocolate market, valued between Rs 1,700 core and Rs 1900 core,
grew at 23 per cent last year and we have been able to better the industry
growth. Going forward, we expect to continue this," he said.

Asked if the company had any specific targets for the coming fiscal, Dry
burgh declined to comment. He, however, said Nestle India would be
launching the two new Kit Kat variants, Kit Kat Chunky and Kit Kat Mini-in
23 cities across India, which would be supported by adequate advertising
and communication campaigns.

Dry burgh said keeping in mind the changing lifestyle of consumers, the
new Kit Kat variants would target those who are seeking to balance
indulgence with lighter eating

62
 AMUL CHOCOLATE INDIA

Amul the taste of India the company has in 1946 year later with the financial
help from UNICEF assistance from the Govt. of New Zealnd under the
Colombo plan, of Rs 50 millions for factory to manufacture milk and milk
powder and butter was planned. There after some years amul also planned to
produce chocolate and they launched first chocolate in the year of 1989 it
has started with amul milk chocolate since plenty of milk is produced in
Gujarat. Amul is the only one chocolate manufacturing Indian based
company.
Dairy major Amul is reworking its strategy in the chocolate category to push
its chocolate product sales.

Although, the company has maintained a chocolate portfolio for more than
20 years, the dairy products major never posed a threat to market leaders
such as Cadbury and Nestle.

Now, with a new product portfolio, the home-grown foods giant is planning
to create a space for itself.

“In the chocolate business, our strategy is to identify the market gaps and try
and fill them. We have done this in the past with our sugar free and Choco
Zoo, both of which have been appreciated by the consumers. We are
concentrating on the niche segment as far as the chocolate range is
concerned,” says R S Sodhi, general manager, marketing, Amul.

Company executives say that by occupying niche spots such as the shape-
based chocolates segment, Amul can dominate the segment. In the overall
category, Amul has a market share of roughly 10 per cent compared with 70
per cent share of the market leader, Cadbury.

63
The growth in Amul’s chocolate sales has remained stagnant over the years.
Industry experts say that since the company is present in more than one
category, some of its categories have performed better than others. In
Amul’s case, the bulk of its sales comes from its dairy products such as milk
packets.

The company is trying to push its chocolate sales through its extensive dairy
distribution network, say sources. It is giving discount offers for its recently
launched sugar-free chocolates, which the distributors said was well
received by the market.

The company has also placed its chocolate products at lesser price points
compared with its competitors. Other chocolate brands by Amul include
Bindaaz, Fundoo, Almond bar, Milk chocolate and Fruit-n-nut.
Yet chocolate has never been a major thrust area for the company. It still
remains one of its non-core categories. Its chocolate drinks have received
better response than its chocolates, say company executives.

The chocolate category in India is also seeing increased activity with MNCs
such as Hershey’s planning to introduce products from its global stable in
India in the coming year.

Amul is looking at building a bigger portfolio in this category by introducing

new types of chocolates.

64
 Brands under amul chocolate

• Amul Fruit & Nut Chocolate

• Amul Bindazz
• Amul Rejoice
• Milky bar
• Amul orange

Figure 8

65
 QUESTIONNAIRE OF AMUL CHOCOLATE

Advertising towards sales of Chocolates.

[1] What kind of Chocolate do you eat?

Branded ______ Non-branded ______

[2] Who uses chocolates in your family?

Children Teenager Young Old

[3] What form of Chocolate do you like?

Cookies _____ Bar _____
Wafer _____ Other _____

[4] Which Television channel you like to watch most?

STAR _______ ZEE ________
SONY _______ CARTOON ________
Others _______

[5] In between what time you like to watch television?

Timings _____________

[6] By which media you prefer to watch advertisements?

Television Hoardings
Newspapers Magazines
Others (Mention)

[7] Which advertisement you like the most?

[8] What factors effects you in a chocolate advertisement?

Brand ambassador _______ Jingles ________
Comedy _______ Music ________
Others (Mention) _______

[9] Have you ever tasted Amul Chocolate?

Yes _____ No ______

66
[10] Can you recall AMUL Chocolate advertisement?
Yes ____ No ____

[11] What is the frequency of purchasing Chocolate?

Daily ______ Weekly _______
Fortnightly ______ Occasionally _______

67
 BENEFITS OF CHOCOLATE

New V-Day gifts: Chocolate body paint!

There are roses, cards, teddy bears - and then there are yummy chocolate
paint and edible chocolate massages. As far as Valentine's Day gifts go, the
Indian market certainly seems to be getting adventurous

New Delhi: To cash in on a trend that is quite popular abroad, flower

boutique chain Ferns 'N' Petals is offering the unconventional gift item at a
starting price of Rs.299.

"A jar of edible chocolate body paint is the perfect way to top off a romantic
evening," Pawan Gadia, vice-president of Ferns 'N' Petals Group, told IANS.

"Also, liquid chocolate can be used as body massage and is a fantastic fun
gift for couples. It can be used on its own, with whipped cream, bits of fruit
or anything edible that one would like. It is fully edible and washes off
easily," he added.

The chocolate body paint encompasses rich chocolate truffle sauce made
from French dark chocolate. It is available in glass jars of 50 grams, each
teamed with a brush capable of swirling designs.

Gadia is upbeat about the future of the initiative, which is specifically meant
for Valentine's Day.

He said: "Our target customers are in the age group of 25 to 40. It is a very
intimate product and there could be no better occasion than V-Day for a
couple to relish it.

"I am extremely positive about its future because today's youth is evolved
and has travelled a lot.

68
"We have already booked about 20 orders and are expecting no less than 300
orders this time. The Indian market has lots of potential, momentary sales
might be less but next year we would expect three times more sale than this
year."

However, the concept of edible chocolate body paint is not new and was first
introduced in the country by Zeba Kohli's Fantasie Fine Chocolates nearly
half a decade ago.

Kohli feels that apart from just body painting with magical molten
chocolate, people can give wings to their imagination and use it in many
other innovative ways.

"Chocolate is a part of our lives and can also be used for making edible
cards, tattoos and pieces of art," she said.

The confectionery and chocolate market in India is worth Rs.28 billion. Of

this, chocolates account for Rs.8 billion.

"The country's chocolate market is currently in its nascent stages and is

metropolitan city centric. But it will gain momentum as India is one of the
finest emerging markets," said Kohli.

Source: IANS DELHI

Researchers have some news for chocolate lovers: it may be good for you.
Scientists reported preliminary evidence recently that cocoa and other

69
chocolates may keep high blood pressure down, your blood flowing and
your heart healthy.

The research, the latest which correlates eating flavonoid-rich foods with a
reduced risk of cardiovascular disease was presented in February at the
American Association for the Advancement of Science's (AAAS) annual
meeting in Boston.
One study found that a substance in cocoa helps the body process nitric
oxide (NO), a compound critical for healthy blood flow and blood pressure.
Another study showed that flavonols in cocoa prevent fat-like substances in
the bloodstream from oxidizing and clogging the arteries, and make blood
platelets less likely to stick together and cause clots. Flavonoids are plant
compounds with potent antioxidant properties; so far, scientists have found
more than 4,000 kinds. Cocoa beans contain large quantities of flavonoids,
and so do red wine, tea, cranberries, peanuts, strawberries, apples and many
other fruits and vegetables .The flavonoids in chocolate are called flavonols.
Generally, science has found that dark chocolate is higher in flavonoids than
milk chocolate, The way that cocoa powder and chocolate syrups are
manufactured removes most flavonoids.

Nitric Oxide

70
In the first study, researchers gave Boston volunteers cocoa with either a
high or low amount of flavonols. Those who drank cocoa with more
flavonols showed more nitric oxide activity.(4)

"Nitric oxide plays such an important role in the maintenance of healthy

blood pressure and, in turn, cardiovascular health," said lead researcher Dr.
Norman K. Hollenberg, physician and professor of medicine at Brigham and
Women's Hospital and Harvard Medical School.

The residents of an island called Kuna in Panama prompted Hollenberg's

study. These indigenous people rarely develop high blood pressure, although
they drink about 5 cups of cocoa each day and include it in many recipes.
But if they leave the island, the risk of high blood pressure increases, and
studies found it wasn't related to salt intake or obesity.

Next, Hollenberg's team will determine if regulating nitric oxide with

flavonols has a positive impact.

"If our research results continue to support a link between consumption of

flavonol-rich cocoa and nitric oxide synthesis, there could be significant
implications for public health," said Hollenberg.

Promotes Blood Flow

The other study compared how blood platelets responded to a flavonol-rich

cocoa drink with 25 grams of semi-sweet chocolate pieces and a blood-
thinning, 81-milligram aspirin dose. The research found similar reactions to
the two from a group of 20- to 40-year-olds: both the drink and the aspirin
prevented platelets from sticking together or clotting, which can impede
blood flow.(5)

In other words, flavonol-rich cocoa and chocolate act similarly to low-dose

aspirin in promoting healthy blood flow. Reducing the blood's ability to clot
also reduces the risk of stroke and heart attacks.

Lead study author Dr. Carl Keen cautioned that his team isn't suggesting that
people eat a couple of candy bars instead of taking their daily dose of
aspirin.

71
"We're not advocating that people consume flavonol-rich foods in place of
aspirin," stressed Keen, who is also the University of California-Davis
nutrition department chairman. For people who cannot take aspirin,
however, he said eating flavonol-rich foods "may be a useful approach."

He noted one important difference between aspirin and flavonol-rich foods:

"The effects you see in aspirin are longer-lasting than the effects you see in
flavonols," he said.

Although the trial involved just 40 people, Keen called the results
"remarkably robust" and said the platelet effect may be related to the nitric
oxide benefits found by Hollenberg's study.

Keen's team currently has an article under review in which they show a
direct comparison to low-dose aspirin using the same study group.

"The next thing on our agenda is to look at chronic effects," said Keen.
"What happens when a person has a high flavonol intake for two weeks? Do
you still see the same effects? Many times...the body adapts or adjusts and
you don't necessarily see the same thing after two or three weeks."

72
CFS&Chocolate

Many CFS specialists consider chocolate one of a few substances their

patients should stay away from completely. CFS specialist Chuck Lapp,
M.D., is one of them.

"I've always recommended that PWCs avoid sugar, caffeine, alcohol,

Nutrasweet and tobacco," said Lapp, director of the Hunter Hopkins Center
in Charlotte, NC. (He tells patients to remember the things they shouldn't eat
by remembering the mnemonic SCANT, the first letter of each of those
words.)

"These items are not tolerated well," he said. "PWCs tend to have
hypoglycemia, and eating refined sugar - like chocolate candy - triggers
reactive hypoglycemia, or a 'let down' in energy a couple hours later. And
the cocoa used in cake, for example, doesn't contain refined sugar, but has a
caffeine-like effect."

Dick Bruno, M.D., agrees. He's Director of the Fatigue Management

Programs and Post-Polio Institute at Englewood Hospital and Medical
Center in Englewood ,NJ.

"PWCs shouldn't use anything containing caffeine- including chocolate,

coffee, tea or soda-to pump themselves up," said Dr. Bruno. "What's more,
we discourage the 'sugar high' carbs provide and recommend a
hypoglycemia diet: using protein as a long-lasting source of fuel to supply
and turn on damaged, brain-activating system neurons."

Chocolate'sBenefits?

73
A PWC who was a true chocoholic could do a little research and argue that
there are several bioactive compounds in chocolate that promote alertness,
lessen pain and promote well-being.

For example, the stimulants theobromine, caffeine, tyramine and

phenylethylamine (PEA) provide a brain-fogged PWC with a much-needed
lift. Tryptophan, an essential amino acid, lessens anxiety by producing the
neurotransmitter serotonin; endorphins, the body's natural opiates, reduce
sensitivity to pain.

Anandamide acts like a cannabinoid to promote relaxation.

And last but certainly not least, chocolate is a natural analgesic, and high-fat,
chocolate foods trigger the brain's production of natural opiates.
So let's sum up. Chocolate gives you an energy lift, less anxiety, a reduction
in pain-who wouldn't recommend something that did all that? Well, a
nutritionist or biochemist could argue that chocolate doesn't contain much of
these ingredients.

For example, while caffeine does encourage alertness, there is less caffeine
in chocolate than there is in a cup of coffee. (There are about 30 milligrams
of caffeine in your average chocolate bar, while a cup of coffee contains 100
-150 mgs.)
Another example: PEA causes blood pressure and blood sugar to rise, and
you'll feel alert and content for awhile. But those good feelings are likely to
be followed by a sugar-induced drop in energy that leaves you more tired
than before you ate the candy.

Cannabinoids are substances that mimic marijuana. The chemical in

marijuana that makes people "high" - tetrahydrocannabinol (THC) - binds to
certain receptors in the brain. The anandamide in chocolate can bind to the
same receptors, producing a "high."

However, Christian Felder at the National Institute of Mental Health would

point out that a 130-pound person would have to eat 25 pounds of chocolate
all at once to get a marijuana-like effect.

74
And what about chocolate's ability to trigger the brain's natural opiates? At a
CFS conference held September 1999 in Brussels, Belgium, Professor
Jonathan Brostoff of London discussed "Allergy in CFS." He said about 25
percent of the population suffers from intolerances or allergies and the
percentage is the same for PWCs.

Brostoff said food and inhalant sensitivities could lead to health problems,
including migraine, irritable bowel syndrome, arthralgia and chronic fatigue.
He suggested an elimination diet to find out whether someone is intolerant.
Furthermore, he blamed the "exorphins" (external morphine-like substances)
in chocolate for "gut problems" and even "psychological sequelae.

Don't laugh: A study published in 1999 in the Journal of the American

Dietetic Association found that chocolate contains "several biologically
active constituents (methylxanthines, biogenic amines, and cannabinoid-like
fatty acids), all of which potentially cause abnormal behaviors and
psychological sensations that parallel those of other addictive substances."

So, about those chocolate cravings: At "The Challenge of Chronic Illness"

CFS conference in Sydney, Australia, in 1999, Abhijit Chaudhuri, a
neurologist on the Glasgow, Scotland-based team researching CFS, said
about 40 percent of his patients routinely craved chocolate. He suggested
SSRIs or and low-dose tricyclics to help prevent those cravings.

Some people find that Bupropion (Wellbutrin) reduces chocolate cravings.

(6) That may be because Bupropion's chemical structure is similar to PEA.

AntioxidantPower

Here's an argument you could win with the nutritionist: Studies show that
cocoa powder, dark chocolate and milk chocolate have higher Oxygen

75
Radical Absorption Capacity (ORAC) values than many common foods,
such as prunes and blueberries. (12) (ORAC values measure how powerful
an antioxidant a substance is. An antioxidant is a substance that inhibits
oxidation or reactions promoted by oxygen and peroxides, and that include
many held to protect the living body from the deleterious effects of free
radicals. Examples include beta-carotene, vitamin C, and alpha-tocopherol.

Dark chocolate has more than 13,000 ORAC units and milk chocolate has
about 6,700, according to the Chocolate Manufacturers Association in
McLean, Va. Unsweetened powdered cocoa starts out with almost twice as
much antioxidants as dark chocolate, but when it's diluted with water or milk
and sugar to make hot chocolate, the flavonoid total per serving plummets to
about half that in milk chocolate.

In different terms, a 40-gram serving of milk chocolate contains about 400

milligrams of antioxidants, the same as a glass of red wine, according to
research published by Joe A. Vinson of the University of Scranton, Pa.
Vinson's team's results were also supported by ACRI.

Vinson and his colleagues found that the flavonoids in chocolate are more
powerful than vitamins such as ascorbic acid in protecting circulating lipids
from oxidation. Atherosclerosis studies suggest that oxidation of
lipoproteins is part of the process that creates the plaque that clogs artery
walls.

"Chocolate just stands out," Vinson said. "It's much higher than anything
else."

If that doesn't convince your doctor, try this: researchers from the Harvard
School of Public Health found that those who eat chocolate and sweets up to
three times each month live almost a year longer than those who eat too
much or those who steer clear of junk altogether.

Industry-funded Research

Both studies presented at the February AAAS meeting used an experimental

cocoa supplied by Mars Incorporated, and the candy company
commissioned the research as well. Mars Incorporated makes M&Ms and

76
Mars, Snickers and Dove bars, among other candies.

For the last few years, Mars Incorporated and the American Cocoa Research
Institute (ACRI) in McLean, Va., have jointly funded research to try to find
health benefits in the delectable dessert. Mars Incorporated external affairs
director Marlene Machut said the studies began as "flavor research" but
shifted to health benefits as evidence grew.

One problem with that was alluded to in an AAAS symposium on chocolate

held in 2000: Why should consumers trust data on chocolate when it comes
from industry-funded research?

"That's a valid question," acknowledged John W. Erdman, professor of food

science and human nutrition at the University of Illinois at Urbana-
Champaign and cochair of that symposium. But he also said in a recent
interview that if the candy industry hadn't funded the research, "it would
have been very difficult to get off the ground otherwise."

Erdman said the situation is similar to Quaker Oats' preliminary funding of

research that showed oats' lowered serum cholesterol, or to Midwestern soy
farmers funding most of the initial studies which showed that proteins and
antioxidants in soy fight heart disease. Later clinical research done by
independent labs around the world confirmed those smaller studies'
conclusions and expanded upon them, he said.

"It's often necessary for a lot of promising, peer-reviewed, industry-financed

studies to be done before government steps in with financial support for
larger-scale research," Erdman said. "Nowadays the FDA wants preliminary
information before they fund a major project."

Rather than questioning the data, Professor Keen believes people should
applaud the industry for investigating the nutritional value of their products.

"Responsible food companies have a responsibility to fund research into the

potential value of nutrients in those foods," he said. "If [these] companies
help fund research at independent campuses and universities, and generate
exciting data, that tells the NIH, 'This is a worthwhile area in which to invest
precious taxpayer dollars.'"

77
78
 BIBLOGRAPHY

For history of chocolate:- www. Wikipideia.com

www.chocolate.com

For manufacturing process:- www. Wikipideia.com

www.cadburyindia.com

For market research:- www.FMCGINDIA.com

www.cadburyindialtd.com
www.managementparadiaes.com
www.nestleindia.com
www.chocolate.com

For health benefits:- www.chocolate.com

www.virtualchocolate.com
www.exploratorium/chocolate

79
 CONCLUSION

Chocolate is most favorite sweet for every one in India chocolate came late
in the 18th century but the popularity increased very fast than any other
country as under this project observed that the per capita consumption of
chocolate is very low comparative to other country it is going to be increase
in recent years. For that all chocolate manufacturing company’s are working
hard as well as advertising trends also changing day by day during this
project it has been found as chocolate The per capita consumption of
chocolate in India is 300 gram compared with 1.9 kilograms in developed
markets such as the United Kingdom

300
200
100
0

united 1.9
kingdom
india 300

Figure 9

in order to increase this % Indian youth entrepreneurs should work toward

it and since this project is meant to provide guideline about manufacturing
process of chocolate, recourses available to produce chocolate, market
availability for chocolate sale & advertising technique and trends for that.

It also has been found by this project is that chocolate production is little
complicated process that any other confectionery products since it has long
machaninacal process as well as coca beans production is also low in the
country but all above points considering it has also observed that in this
sector there is less market competition, that can be the most positive point
for entrepreneurs.

80