The Lay’s and Cheetos maker has earmarked a substantial investment in the Southeast Asia island nation over a 10-year period and has broken ground for a new snack factory in the West Java town of Cikarang.
The Federation of Bakers (FOB) warns the next six months will be a bumpy ride for the baking industry, with impending cost increases and supply uncertainty not seen in the past generation, ‘if ever’.
The Japanese snack giant has warned of a price rise next year, thanks to a poor potato harvest, a sharp increase in production costs raw material and logistics costs, and a weight reduction of some of its signature snacks.
The European adhesives industry said rising raw material costs triggered by a supply shortfall in the chemical sector is one reason behind its own price rises, as it seeks to response to customer concerns.
Major US plastic packaging companies are facing a double squeeze --
falling demand for theirproducts and lowered margins due to the
high cost of raw materials, according to a report fromStandard
& Poor's.
Wheat, corn and soybean prices will remain high for much of 2004,
warns the US agency Fitch Ratings, with the industry likely to see
a continual shifting of higher ingredients costs onto the food
manufacturer. But tough negotiations...
