The Clap Al Marai (2280), the largest food and beverage manufacturer in the Middle East, will increase the prices of some of its products at the beginning of 2023, due to high production costs.
What The costs of production inputs, shipping, and fodder prices increased significantly during the last period, forcing the company to adjust the prices of a few dairy products to cover part of the costs of these hikes.
So What The latest price increase comes one day after Aramco’s (2222) decision to increase diesel prices in the local market by 19% starting next month.
The increase in diesel prices may have been the determining factor in Al Marai’s price hikes, as the company owns more than 8,500 trucks to distribute its products in the markets.
Now What There is no official statement regarding the price increase or which products will be affected. The company also did not specify the magnitude of the price hike, when exactly will they be reflected, or whether it will include markets other than Saudi Arabia.