Dawn Food Products, the
Jackson, Mich.-based baker and distributor, will increase prices for orders
placed on and after July 1, 2008.
Increases in costs of
commodities, ingredients and transportation were cited as causes by David
Kowal, president, U.S. Bakery Products at Dawn. “Floods in the Midwest and
other key factors are affecting the supply of corn and corn sweeteners, sugar,
soybean and wheat crops. Also affecting supply is ever increasing global demand
from China, India and other Asian countries. Additionally, crops converted for
ethanol and bio-diesel are driving new demand,” he said.
“In order to maintain
the high quality and service standards our customers have come to expect from
Dawn, it has become apparent that we need to raise our prices,” said
Kowal.
According to a
company statement, Dawn continues working hard to effectively manage costs by
improving supply chain management. It said it is reviewing all business
practices to maximize efficiencies and streamlining its organization to help
control costs.