FMCG giant Nestlé has revealed it will further raise prices on its food products due to higher production costs that it has yet to fully pass on to consumers.
Speaking to a German newspaper Frankfurter Allgemeine Zeitung, the CEO of Nestlé, Mark Schneider, said the price increases will not be as steep as they were in 2022.
However, he states the FMCG giant has some “catching up to do over the full year”, Reuters reported.
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The news comes as in the first nine months of 2022, the parent company of Nescafé, Purina, Cheerios, Nespresso, Maggi and Quality Street, reported its “strongest growth in 14 years” of 8.5% to £61 billion. Price rises also accounted for 7.5 percentage points.
Last year, the company, which recently appointed Richard Watson as its new CEO for UK & Ireland, warned of price rises it continued to battle steep inflation.
At the time, Schneider said: “Cost inflation continues to increase sharply, which will require further pricing and mitigating actions over the course of the year.”
