"We agree you shouldn't have too much sugar in your diet, but this is one time a year and we don't think this has an impact on people's diets," he said.
"People are overconcerned about fun holidays like this," Graham said. "Some schools are restrictive, and we don't think it's necessary."
Overall "the candy industry is doing OK," he said, adding that it's not recession-proof, but more recession-resistant than other consumer sectors.
Nearly three-fourths of all candy purchased at Halloween is chocolate. Candymakers' concerns include stocks and prices of ingredients such as sugar, cocoa and nuts, with long-term supplies of cocoa a special worry.
It can be grown only in a limited area—the belt 20 degrees north and south of the equator, and a cocoa tree take four to five years to produce fruit after planting, according to the NCA.
Global demand for chocolate has been rising, as developing economies such as China, India and Brazil have a growing appetite for chocolate and more discretionary income to buy it, according to an NCA spokesperson.
Candy prices have risen 7 percent in the past year, according to the association.
In an industry overwhelmingly composed of small family companies, the two biggest players are Hershey and Nestlé, the spokesperson said.
(Read more: Hershey's profit rises on strong sales)
Hershey shares hit an all-time high Wednesday. The stock has risen over 40 percent in the past year. The company reported third-quarter earnings last week that beat expectations and raised its earnings-per-share growth guidance for the second time in less than 18 months. Its 12-month trailing price-to-earnings ratio, often used to determine the value of a stock, is about 29.
Packaged foods analyst Thilo Wrede at Jefferies increased his price target on Hersey shares to $95, citing better cost leverage and the fact that the company "does not seem to feel the effects of a weak consumer/slowing economies," he wrote in his latest note. He kept his hold rating on the stock.