Mondelez International confirmed today (13 January) it is making “selective price increases” on its products sold in the UK, although the company declined to give details about what products or brands might be affected.
The announcement came in response to reports products expected to see a price hike later this year would include the Mondelez-owned Cadbury frog-shaped chocolate bar, Freddo, which is reportedly set to jump in price from around GBP0.25 (US$0.30) to GBP0.30.
Mondelez declined to discuss individual products, but a spokesperson told just-food: “It is well reported that food and drink manufacturers have been experiencing increasing input costs for some time which, coupled with recent foreign exchange pressures, are making food products more expensive to make. For example, the price of cocoa, which we import into the UK, is up by over 50% since 2013.
“We have, and continue to, carry these increased costs within our business as much as possible because our priority is to keep our brands as affordable as we can. Increasing prices is always a last resort, but to ensure we can keep people’s favourite brands on-shelf and look after the 4,500 people we employ in the UK, we are having to make some selective price increases with our customers in the UK. Importantly it is the retailer who ultimately sets the price on-shelf.”