[Epoch Times, October 24, 2021]China’s largest melon seed producer, Negoi Foods, issued an announcement on October 22 to adjust the company’s sunflower seed products ex-factory prices, with price increases ranging from 8% to 18% for each category. This is another company in the food and beverage sector that announced price increases.
According to the Qiaqia Foods announcement, the company decided to adjust the factory price of the company’s sunflower seeds, pumpkin seeds, and small and fragrant watermelon seeds. The price increase of each category ranges from 8% to 18%. The price will be implemented on October 22, 2021. It will be implemented on the same day.
According to the “Daily Economic News” report, many netizens questioned that the news was leaked in advance, “Retail news is slow, and soup is not available” and “Leek is always a hindsight.”
Qiaqia’s food price hikes have already had signs. In the Investor Relations Activity Record Form disclosed on August 25, Qiaqia Foods disclosed that the company had no changes in the pricing of melon seeds and nuts in the first half of the year. The pricing of the second half of the year was mainly based on the price of the new purchasing season for prediction and response. At the beginning of this year, both bulk commodities and packaging materials have risen, and the company does not rule out the possibility of price adjustments in the later period.
“China Business News” quoted a food industry analyst as saying that the price increase has been heard from some distributors on October 21. It is generally estimated that the price increase this time will be greater than the cost increase, which can better boost next year’s performance. .
This is the second price increase of Qiaqia Foods in 11 years since its launch. The last time it occurred in July 2018. At that time, the company adjusted the ex-factory prices of eight categories of products including cantaloupe seeds, original cantaloupe seeds, and small and fragrant watermelon seeds, with price increases ranging from 6% to 14.5%.
Qiaqia Foods mainly produces roasted nuts and roasted snack foods. In March 2011, Qiaqia Foods was listed on the Shenzhen Stock Exchange and was called the “first share of roasted seeds and nuts”. From 2018 to 2020, Qiaqia Foods rose from 16 yuan to a maximum of around 70 yuan, a three-year increase of more than 340%. In 2021, the share price was once cut, and the lowest fell to 35.8 yuan.
According to the research report of Guohai Securities, due to the increase in the cost of raw materials and the high base of the epidemic in 2020, the performance of the casual snacks, quick-frozen food, rice, noodles, grains and oils, condiments and other sectors will be affected.
In addition, Haitian Flavour, a leading condiment company in China, announced on October 12 that it would adjust the ex-factory prices of some products. Haitian Flavour said that in view of the continuous increase in the costs of major raw materials, transportation, energy, etc., the company decided to adjust the ex-factory prices of some products such as soy sauce, oyster sauce, and sauces, with the adjustment range of main products ranging from 3% to 7%. , The new price will be implemented on October 25, 2021.
“Securities Times” quoted industry analysts as saying that, as the absolute leader in the condiment industry, the price adjustment actions of Haitian Flavour Industry have the effect of a “vane” in the industry. After Haitian Flavour Industry has determined that its product prices will increase, it will be a high probability event for other companies to follow suit. In fact, after Haitian Flavour Industry announced the previous round of price increase in January 2017, Qianhe Flavour Industry and Zhongju High-tech also followed up the price increase policy in March 2017.
Editor in charge: Li Bing#
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