October 16, 2006

Pinnacle Feeds raising prices of its products

Pinnacle Feeds, a feed supplier with distributors in the Caribbean, UK and US, announced it would be reviewing the prices of its products, adding that the livestock industry may see higher costs in the coming weeks.

Pinnacle said the price increases were necessary given the rising grain prices on the world market, higher demand for corn to be used in ethanol production and rising energy and shipping charges.

The company says it has absorbed costs of more than US$100,000 in June and July and expects to shoulder close to US$240,000 in October.

The company also pointed out that this is its first price increase since April 2004 and when grain prices were low in January last year, the company slashed its prices as well.

Pinnacle said it realises that these are challenging times for farmers and hopes to continue to hold back prices but could no longer do so. 

Pinnacle is a Barbados-based company formed from a merger between Roberts Manufacturing and Barbados Feeds Ltd in 2000. Besides feeds, the company also produces margarine, shortening, soy products and pet food. The company has 160 employees.