Unconfirmed reports that KSA dairy companies may raise prices c10% in October 2016
A number of dairy companies have reportedly started to raise some of their product’s prices and reducing pack sizes, according to Al Riyadh newspaper. The newspaper article also quoted an industry specialist saying that dairy companies are planning to raise their prices by c10% in October 2016 to offset higher costs. However, an increase for fresh dairy prices would require government approval and the kingdom’s largest dairy company Almarai recently indicated that a price increase is unlikely this year given low commodity prices On another note, dairy companies are calling for the extension of the expiration of their products from seven to 10 days to minimise losses. (Argaam, Hatem Alaa, Nada Amin)
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