Consumers started paying more for milk products and pet food this year. In 2022, they’ll also need deeper pockets for cups of coffee.
Nestle SA, the owner of Nescafe and Nespresso, said coffee will become more expensive as the company starts feeling the pressure of higher input costs in that category.
The world’s largest food company, which also makes Purina pet products and Carnation condensed milk, joined peers in adding price hikes to their strategies as they grapple with accelerating inflation they predict could intensify in 2022.
“It’s more related to the specific categories that have been hit by input cost inflation,” Chief Financial Officer Francois-Xavier Roger told analysts on a call. In 2021, that revolved more around dairy and pet care. “But we can expect we’ll have more pricing on coffee next year.”