Domestic instant noodle brands that are priced below 1 yuan (US$0.13) will on
Thursday join a nationwide price hike, the result of the soaring cost of
Chinese instant noodle brands decide to raise the prices of
their products to alleviate burdens brought by the soaring cost of
An official with the China Branch of the International Ramen Manufactures
Association (IRMA), Meng Suhe, said the prices will on average be raised by 20
percent, and no highest than 40 percent.
This is the latest step of the burdened industry to ease the side effect
brought about by rising costs. Leading instant noodle manufacturers, including
Master Kong and President, last month raised the prices of their products.
The prices of brands sold above 1.5 yuan per bag were increased by 0.2 yuan,
on average, back in June.
Sources close to the industry reveal that the sector has been severely
affected by booming materials price hikes since last year.
The price of palm oil, a major ingredient that can account for 18 percent of
noodle production costs, has risen to around 8,000 yuan per tonne, up from 4,200
yuan in 2006.