Western European starch producers set price hikes for Q1 despite good supply, competitive situation and realizing sharp increases for corn, potato and wheat starch in Q4, citing need to pass on rising raw material costs

LOS ANGELES , December 17, 2012 () –

Starch producers are defying market conditions that point to a relatively ample supply and competition conditions in some regions and have posted a price hike for first-quarter 2013 after having raised prices sharply this quarter, reported EUWID-Paper on Dec. 17.

Some contracts have already been settled at the new price for next quarter and the goal is to have the remaining contracts settled by Christmas, the starch suppliers indicated. They say they need to raise their prices to offset rising raw material costs.

There is some concern about the paper industry’s situation given the current economy. Market players said that ongoing restructuring in the graphic paper and packaging sectors was expected to lead to extended temporary production curtailments or worse.

The starch producers indicated that they hope to see at least some minor mark-ups pushed through for deliveries in the first quarter of 2013. This quarter, significant prices increases were implemented for corn, potato and wheat starch, EUWID-Paper reported.

The primary source of this article is EUWID-Paper, Gernsbach, Germany, on Dec. 17, 2012.

 

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