Nestle says it won't raise sales prices in near term
Swiss food giant Nestle SA is unlikely to raise sales prices further in the near term as costs of many ingredients have already peaked, the company's chairman said on Sunday.
By Agencies |
KUALA LUMPUR: Swiss food giant Nestle SA is unlikely to raise sales prices further in the near term as costs of many ingredients have already peaked, the company's chairman said on Sunday.
``You are now seeing the impact of price increases which were done some months ago,'' Peter Brabeck said in an interview with Dow Jones Newswires.
Brabeck was in Malaysia to attend the World Economic Forum on East Asia, an annual gathering of business and government leaders.
``I would expect this to flatten out over the next several months and not increase anymore as our costs have come down,'' he said.
Brabeck, who recently stepped down as chief executive of the Switzerland-based food-product maker, said ``the worst is probably past'' for prices of raw materials such as coffee, cocoa, and milk.
Brabeck also said the company is unlikely to make acquisitions any larger than US$200 million-US$300 million in the near term because of the scarcity of attractive targets.
Nestle has no firm plan to sell its 29 per cent stake in cosmetics giant L'Oreal, but Brabeck said management will review such a possibility after a lockup agreement expires next year.
``You are now seeing the impact of price increases which were done some months ago,'' Peter Brabeck said in an interview with Dow Jones Newswires.
Brabeck was in Malaysia to attend the World Economic Forum on East Asia, an annual gathering of business and government leaders.
``I would expect this to flatten out over the next several months and not increase anymore as our costs have come down,'' he said.
Brabeck, who recently stepped down as chief executive of the Switzerland-based food-product maker, said ``the worst is probably past'' for prices of raw materials such as coffee, cocoa, and milk.
Brabeck also said the company is unlikely to make acquisitions any larger than US$200 million-US$300 million in the near term because of the scarcity of attractive targets.
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Nestle has no firm plan to sell its 29 per cent stake in cosmetics giant L'Oreal, but Brabeck said management will review such a possibility after a lockup agreement expires next year.
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