Upon entering Xocoatl Chocolate, located in Atlanta’s Mechanicsville neighborhood, the rich aroma of raw chocolate fills the air.
Co-owned by Matt Weyandt and Elaine Read, this small business employs 19 people and has made its home in a historically all-Black neighborhood, previously occupied by small mechanic shops.
As the backbone of the community, small businesses like Xocoatl Chocolate are pivotal not only to Mechanicsville but also to Georgia.
Statewide, Georgia boasts over one million registered small businesses, according to data from the U.S. Small Business Administration.
However, recent tariff increases on goods imported from foreign countries, particularly those impacting small businesses, pose a significant threat to this ecosystem.
On Tuesday morning, Georgia Senator Raphael Warnock visited Xocoatl Chocolate to discuss how these tariffs affect their operations.
“Ninety-nine percent of the businesses in Georgia are small businesses,” stated Warnock, addressing the importance of coherent tariff policies.
He emphasized that Congress has the ability to improve this situation, criticizing his Republican colleagues for yielding too much power to the Executive Branch on tariff matters.
During his visit, Warnock met with Weyandt, Read, and their staff, bringing attention to the serious impact that tariff hikes have on their bottom line.
Xocoatl Chocolate sources cocoa from several international suppliers in regions including the Dominican Republic, Peru, Uganda, and Tanzania.
Traditionally, businesses in these countries have faced tariffs to enter the U.S. market, but the rates have recently surged, with some increasing to as much as 15% and Nicaragua’s spiking to nearly 20%.
Warnock criticized the previous administration’s approach to tariffs, calling it a “reckless and unorganized tariff program” that adversely affects small businesses across Georgia.
“There’s a tendency to look at big corporations, and certainly they play a role in our economy, but small businesses really are the lifeblood of the Georgia economy,” he told The Atlanta Voice.
“These businesses operate with very thin margins and don’t have large capital reserves to withstand the financial strain of sudden price increases or tariff policy changes.”
The tariffs have caused a prolonged period of uncertainty for small businesses like Xocoatl Chocolate, complicating their purchasing decisions for essential ingredients and equipment.
Weyandt and Read expressed concerns about the burden of acquiring cocoa beans, sugar, and packaging materials in light of fluctuating prices.
“It’s tough for us to buy products that we may not use,” Read said, reflecting the challenges of balancing inventory with potential sales.
During his tour of the factory, Warnock participated in the process of creating chocolate, illustrating the intricacies involved in their production.
Although he joked about his inability to perform the delicate packaging work done by employee Jacquell Grier, his presence highlighted the importance of skilled labor in small businesses.
Both Grier and Berhane Weldegebreg, a roaster, exemplify how small businesses provide unique opportunities for individuals to utilize their skills.
While small businesses may not employ the majority of workers in Georgia, they play a crucial role in the lives of many families.
Grier’s impact at Xocoatl Chocolate is significant, showcasing how each employee contributes to the larger picture within the business.
When asked about the temporary 90-day pause on tariffs, Weyandt and Read confirmed it was not beneficial for their operations.
“Our cocoa prices have gone up over the years,” explained Weyandt, noting their need to secure more cocoa to meet increased demand during the fall and winter seasons.
He acknowledged the sleepless nights spent contemplating how much cocoa to order to prepare for upcoming sales.
Warnock’s visit has drawn attention to the hurdles facing small businesses, but Xocoatl is not alone in navigating these challenges.
The future of small businesses in Georgia, and the tariffs they endure, now rests with the current administration’s policy decisions.
image source from：theatlantavoice
