BENEO-Remy increases prices on the back of rice market evolution

Rice derivative supplier BENEO-Remy has announced a 40% price increase on its range of rice starches and flours. This is due to unprecedented escalating rice demand which is dramatically driving up prices.

10/06/08 BENEO-Remy, a world leader in the production and sales of rice derivatives, announces a 40% price increase on its range of rice starches and flours. This is due to unprecedented escalating rice demand which is dramatically driving up prices.

BENEO-Remy has worked hard to address increasing costs and has made many efficiency improvements but the business is now unable to absorb escalating costs which are affecting the entire food industry. Since last year the cost of rice has almost doubled due to global consumption growing faster than production.

This problem has been further exacerbated by export restrictions in Vietnam, India, Egypt, China and Cambodia and other natural factors including droughts in Australia and floods in Bangladesh. Intervention stocks in Europe are already close to depletion and there is uncertainty about how the July to October global needs will be covered, as 80% of Europe’s latest harvest alone has already been consumed.

Vincent Caluwaerts, Sales & Marketing Manager, BENEO-Remy commented: “We are faced with a ‘force majeure’ situation. Restrictions on export and natural disasters are beyond our control so we have had no choice but to adjust prices accordingly. At BENEO-Remy we pride ourselves in providing our customers with the highest quality ingredients and will therefore not compromise this in the future. With this in mind a price increase has been unavoidable. We will continue to provide now unable to absorb escalating costs which are affecting the entire food industry. Since last year the cost of rice has almost doubled due to global consumption growing faster than production.

This problem has been further exacerbated by export restrictions in Vietnam, India, Egypt, China and Cambodia and other natural factors including droughts in Australia and floods in Bangladesh. Intervention stocks in Europe are already close to depletion and there is uncertainty about how the July to October global needs will be covered, as 80% of Europe’s latest harvest alone has already been consumed.

Vincent Caluwaerts, Sales & Marketing Manager, BENEO-Remy commented: “We are faced with a ‘force majeure’ situation. Restrictions on export and natural disasters are beyond our control so we have had no choice but to adjust prices accordingly. At BENEO-Remy we pride ourselves in providing our customers with the highest quality ingredients and will therefore not compromise this in the future. With this in mind a price increase has been unavoidable. We will continue to provide customers with a premium service ensuring that we remain the supplier of choice for the provision of rice derivatives.”