Strauss Group Ltd. (TASE:STRS) today announced that it is raising prices for dairy products. It will not raise prices for Elite products, including coffee, chocolate, snacks, Yad Mordechai brand jams, and hummus and other Middle Eastern salads and dips, where the company will continue to absorb costs.
Prices for dairy products will rise by an average of 3%, and by as much as 5% for some products, which the company attributes to the rise in the target price of raw milk by NIS 0.207 per liter on October 1 to NIS 2.34 per liter.
Strauss Israel CEO Zion Balas said, "Were it not for the rise in the price of raw milk, we would not have raised prices for any Strauss category at this time. Over the past year, we have undertaken dozens of streamlining measures to keep price levels unchanged, despite the sharp rise in the prices for most raw materials and energy."
The price hikes, which will come into effect on November 1, include a 5% hike on cheeses, 4% hike on milk drinks, 3.5% hike on Danny and Gemadim puddings, and 3% hike on enriched milk. The price of Milky puddings will stay unchanged.
In the past few weeks, many food companies have announced price hikes, including Unilever Israel Ltd., Osem Investments Ltd. (TASE: OSEM), Central Bottling Company Ltd. (Coca-Cola Israel), Tempo Beer Industries (TASE: TMPO), juice maker Jafora Tabori Ltd., and deli meat company Soglowek Food Ltd., as well as toiletries maker Hogla-Kimberly (owned by Hadera Paper Ltd. (TASE: AIP; Pink Sheets: HAIPF)).
Published by Globes [online], Israel business news - www.globes-online.com - on October 24, 2012
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