US packaged food group Kellogg said it will raise the retail price of its popular snack and cracker brands as of 30 December this year.

Consumers buying Keebler cookies and crackers and snack brands such as the NutriGrain cereal bars will have to pay 3-4% more for the privilege, a spokeswoman revealed.

Last week rival food group Kraft Foods admitted it would raise the price of most of its Nabisco cookies and crackers by some 3%. Higher ingredient prices have been cited as the motivation for the hikes by both groups. Prices for commodities such as wheat, cocoa, corn and soyoil have risen sharply, with drought conditions in the Midwest exacerbating wheat price rises, commented Dow Jones.

Kellogg also has to contend with higher employee benefit costs, the spokeswoman added. She stated that the group would not, at this time, be raising the price of its cereal brands.