Coca-Cola sets to raise prices on its products



04/20/2021 4:09 AM


The Coca-Cola Company, the world's largest producer of soft drinks, intends to raise prices for its products because of growing raw material prices, which are pushing up production costs, CEO James Quincey told CNBC.



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"We are well hedged in the year 21, but the pressure for the year 22 is increasing, so there will be a need to raise prices," Quincey said, noting that the company expects commodity costs to rise in 2022. He also noted that the company intends to manage price increases in a "reasonable manner".

However, Quincy did not specify which of the company's products would be affected by the price increase. The channel also clarified that Coca-Cola last announced price increases in 2018, citing rising aluminium prices.

Earlier, Coca-Cola released its financial report, which showed that the company's net profit attributable to its shareholders fell 19 per cent year-on-year to $2.245 billion in the first quarter. Coca-Cola said first-quarter sales showed improvement each month as markets recovered and pandemic uncertainty eased.

The Coca-Cola Company was founded in 1892 and is headquartered in Atlanta, Georgia. The company's best-known brands are Coca-Cola, Fanta and Sprite.

source: cnbc.com


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