Raw materials to rise firms face Quxianjiuguo - noodle enterprises to reduce weight to cope with raw material price hikes.docVIP

 PAGE \* MERGEFORMAT 6 Raw materials to rise firms face ‘Quxianjiuguo’ - noodle enterprises to reduce weight to cope with raw material price hikes From the beginning in March, the main raw material noodle production of flour and palm oil prices also appeared more substantial growth. This is still the end of October last year has been a continuation of large price increases, but this time, prices have entered a new stage. Of flour rose 10% to 20%, and palm oil rose more than 5%. As the production cycle as well as policy factors, flour price rise will not stop in the short term; while palm oil led to increased demand due to warmer weather and the impact of the international situation, the price will also be strong in the longer period. In late April, with the ‘51’ and the advent of China’s edible oil market is bound to usher in a peak demand, the price is expected to rise again, inevitably, palm oil prices will be driven. For instant noodles for this product, raw material price increases will be affected in the near future embodied in the instant noodle market prices. Generally speaking, raw material prices increased immediately after the ex-factory price of instant noodles business. Let us first take a look at the situation before the price increases. After the end of October last year, prices of raw materials, almost all companies have raised prices of instant noodles, in which small and medium enterprises move quickly, but price rises are also relatively large, such as the Third Prince is one such, a raw material prices rose, the Third Prince quickly to increase in the price, and are applied directly to the pressure of raw material price increases passed on to the market, and once each product of the most high of 7 yuan. 3 Prince of the price adjustment in this manner before the year appeared three times more concentrated. While large enterprises have strong anti-risk capability and to take into account the interests of various stakeholders, price adjustm