Nutella prices could be on the rise. Here's why
The threat of a Nutella shortage is looming after bad weather destroyed nearly 70 percent of the hazelnut crops, the main ingredient in the popular spread
Nutella fans, look away now. Hazelnut prices are rocketing due to bad weather and your favourite spread could get more expensive. Here's why:
Hazelnut prices are up 60 per cent after hail storms and cold weather in late March devastated crops grown in Turkey. The country is the world's biggest producer of hazelnuts and controls over 70 per cent of the global market.
The timing is particularly unfortunate because people are crazy about Nutella with sales of the hazelnut spread, owned by Italy's Ferrero Group, up 6.4 per cent to $2.46 billion in 2013, according to data from Euromonitor. The only problem? Nutella is the world's biggest buyer of hazelnuts and disruptions in the supply chain could lead to a price hike.
Ferrero, which also owns Kinder Bueno and Ferrero Roche, has moved to secure access to the ingredients after the acquisition of Oltan Group, Turkey's largest exporter and processor of hazelnuts, last month.
But the company is facing more headwinds.
The price of cocoa beans, another key ingredient in Nutella, has risen sharply this year prompting candy makers Nestle, Mondelez and Hershey to raise chocolate prices in recent months.
Will Ferrero follow suit? Well, you're in luck, the company has not indicated it intends to hike prices for its 50-hazelnut per 300 grams jar spread. But you might want to hold on to it.
- 1 What happens to your body when you give up sugar?
- 2 Tourist films plane's descent just metres above packed Caribbean beach
- 3 World Book Day: Boy 'excluded' from school after dressing up as Fifty Shades' Christian Grey
- 4 Have sex with your iPad thanks to the new sex toy no-one asked for
- 5 GamerGate: developer Tim Schafer provokes rage with joke about online gaming activists at industry awards
Harrison Ford plane crash: Actor will make full recovery thanks to 'beautifully executed' landing
Tourist films plane's descent just metres above packed Caribbean beach
Oxford whistleblower's attempt to protect young victim of a sadistic gang went unheeded
How Homer Simpson discovered the Higgs boson over a decade before scientists
The 'sex selfie stick' lets you FaceTime the inside of a vagina
Nearly 100,000 of Britain's poorest children go hungry after parents' benefits are cut
Durham Free School: 'Creationism taught at' free school facing closure
End of the licence fee: BBC to back radical overhaul of how it is funded
Elif Shafak: Turkish author warns against rise of British nationalism
Ex-head of MI6: 'We shouldn't kid ourselves that Russia is on a path to democracy'
Most people think legal tax avoidance is just as wrong as illegal tax evasion, poll suggests
iJobs Money & Business
£13000 per annum: Recruitment Genius: This is an exciting opportunity to join ...
£25000 - £30000 per annum + benefits: Ashdown Group: A global leader operating...
£12 - £15 Hourly Rate: Jemma Gent: In this role you will report to the Head of...
£8 per hour: Recruitment Genius: This Pension Specialist was established early...