price of Canned coffee set to rise

Nescafe and Birdy have both sent letters to the Commerce Ministry informing it of the pending increases, which are the result of higher prices for sugar, coffee beans and packaging.

Canned coffee is not on the price-control lists of the ministry's InternalTrade Department. Producers must only inform the ministry of any price adjustments.

As well, retail prices for milk and soybean oil have already increased after the ministry approved price hikes for both products.

The price of a 200cc bottle of pasteurised milk increased Bt1, while an 800cc bottle of pasteurised milk now costs another Bt3.75. Soybean oil has increased Bt4.50 per litre bottle to Bt54.

Department director-general Yangyong Phuangrach said the ministry had no choice but to approve the price hikes, because of rapidly rising production costs, particularly for raw materials.

However, other milk products, such as condensed and powered milk, have not been allowed to increase in price, because raw milk is not their main raw material.

The Samak Sundaravej Cabinet approved raising the price of raw milk by Bt3.50 a kilogram to Bt18 last month.

A source in the soybean-oil industry said manufacturers had to increase their retail price after facing losses from aggressive rises in production costs this year.

The price of soybeans has increased continuously since early last year, from Bt13 a kilogram to Bt19.40 now.