GTI report reveals new food price pressuresNovember 28, 2011 - 10:48 AMT PanARMENIAN.Net - Food producers, that until now have been absorbing higher costs, are set to increase their prices, according to the latest findings of Grant Thornton's Food and Beverage International Business Report. The report highlights that in many developed nations, household budgets are being squeezed by high unemployment, flat earnings growth and high inflation. Powerful supermarkets, trying to appeal to cash-strapped consumers, are exerting pressure on producers to keep prices low whilst maintaining their own margins. And with agricultural prices increasing 45% between June 2010 and February 2011 (World Bank), food and beverage (F&B) producers have struggled to maintain their profit margins. Unable to continue absorbing rising costs, 41% of F&B businesses now expect to increase their prices over the next 12 months, compared to only 12% a year ago. Jim Menzies, global food and beverage industry leader at Grant Thornton, said: “Most producers in this sector will be battling to protect margins. Focusing on cost savings and productivity gains must be a priority. ” Top stories Yerevan has dismissed Turkey’s demand to shut down the Armenian nuclear power plant as “inappropriate”. Armenia will loan 2.9 billion drams to Nagorno Karabakh (Artsakh), according to a draft government decision. The Ministry of Ecology and Natural Resources of Azerbaijan has “strongly condemned” Armenia’s decision. Kerobyan has said that for the first time in the history of Armenia, the volume of foreign direct investments amounted to about $1 billion. Partner news | Pashinyan’s spokesperson denies intention to visit Baku for COP29 Pashinyan’s agenda doesn’t include a trip to Baku for the COP29 conference, his press secretary Nazeli Baghdasaryan has said. Russia accuses West of preparing invasion of CSTO countries NATO is preparing an invasion of the CSTO countries, the number of provocations in the air is growing, Sergei Shoigu has said. Lithuania sending €100,000 to help Armenia fight floods consequences Armenian Prime Minister Nikol Pashinyan took to social media to thank his Lithuanian counterpart for the contribution. Armenia: Rescue workers restore pedestrian bridge for flood-hit community Rescue workers on Wednesday, June 5 restored a pedestrian bridge in the town of Alaverdi in Armenia’s north. |