Price of canned goods to rise sharply
A lack of raw materials has led to the skyrocketing of canned good prices.
The price of canned foods is expected to increase by double-digit percentage points due to the rising prices of raw materials.
"Due to a lack of raw materials, the price of tin used to make cans increased up to 40% over the past six months, and the price of the cans increased 15%," said Miri Livneh, head of marketing for Tuna Starcraft. The company informed the supermarket chains that it plans to increase its prices immediately after Passover by an average of 10%.
Of that 10% price increase, 15% to 20% of it is due to the price of tin, and the rest is due to other components, such as tuna and oil.
"Tuna itself is becoming rarer from day to day, since demand is outpacing supply, and every month, its price increases significantly," Livneh said. "Over the past two months alone, prices increased 30%. Plus, the slim harvest of oil-producing seeds such as soy and canola pushed up oil prices by 50%."
Vita Pri Hagalil plans to start increasing prices by 15% as soon as next week. "It's hard to raise the prices [charged] the supermarket chains, but none of the canned food manufacturers are earning money at the moment," it said.