The simultaneous surge in paper and pork prices is impacting more than just the corrugated box industry's 'insiders.' As one of the most important downstream packaging users of the corrugated box industry, the food industry is again significantly affected by the recent consecutive paper price increases. Coupled with soaring prices of bulk raw materials such as meat, many food companies have no choice but to raise prices to protect themselves. It is evident that the simultaneous rise in paper and pork prices is affecting more than just the 'insiders' of the corrugated box industry. The September Consumer Price Index (CPI) was released, showing a year-on-year increase of 3%, the highest in nearly six years. Among them, pork prices rose nearly 70% year-on-year, becoming the main factor driving the expansion of price increases. Facing the current sustained rise in pork prices, the highest pig price in Guangdong Province has already exceeded 23.0 yuan per jin. Meat prices have even reached 35 yuan per jin, approaching beef prices. With raw material prices soaring, paper prices continue to hit new highs. Dongguan Nine Dragons: Effective November 1, Nine Dragons Niu Card and Hailong Niu Card prices increased by 100 yuan/ton, Jianglong recycled Niu Card increased by 50 yuan/ton, core paper 48/50g increased by 50 yuan/ton, with changes in both RMB and HKD. White-faced Niu Card, Dilong Niu Card, and Dilong recycled Niu Card prices remain unchanged. Jianglong brand white cardboard increased by 100 yuan/ton in RMB; others unchanged. Fujian Liansheng Paper: Effective November 1, Hongye double A 160g increased by 100 yuan/ton, Hongye double A 200/230g increased by 150 yuan/ton, all other Niu Card paper increased by 50 yuan/ton, and white cardboard Lvye increased by 150 yuan/ton. APP: Due to recent increases in raw material prices, starting from November 1, 2019, our company will adjust the order prices for all products produced by Ningbo Zhonghua Paper Co., Ltd., Ningbo Asia Pulp & Paper Co., Ltd., and Guangxi Jingu Pulp & Paper Co., Ltd., with an increase of 200 yuan/ton (including tax). In the wave of soaring raw material prices and continuous paper price increases, the food industry, as the closest 'partner' downstream of the corrugated box industry, has finally been overwhelmed, and many food companies have successively issued price adjustment notices. Sanquan Foods Hengshui Hongmei Foods Xinze Foods Xiamen Wanzi Foods Since August, many food manufacturers have successively raised prices and issued price increase notices. This scenario has been repeated countless times in 2019. Extending the timeline further back to the first half of the year, according to incomplete statistics, at least 10 well-known food brands have issued price adjustment letters, covering categories such as beverages, snacks, frozen foods, and condiments. To date, the 'price increase wave' shows no signs of receding. Red Bull In February 2019, Chengdu Red Bull Vitamin Beverage Sales Co., Ltd. issued a price adjustment letter, stating that to uniformly standardize Red Bull prices across Sichuan, cope with increased operating costs, and improve terminal service quality, Red Bull (original flavor) prices would increase starting April 1, 2019. PepsiCo Foods In March 2019, PepsiCo Foods (China) Co., Ltd. issued a price adjustment notice, stating that due to varying increases in packaging materials and labor costs in recent years, PepsiCo Foods products face enormous cost pressure across the board. Despite extensive efforts, it is unavoidable to raise prices to maintain the same excellent brand and attentive market service. After careful consideration, the company decided to increase prices for its puffed food products starting May 1, 2019. According to the official website, PepsiCo's major food products include Lay's potato chips, Doritos, Cheetos corn snacks, and Quaker oatmeal series. Wanchai Ferry In recent years, with the vigorous development of China's economy and the continuous improvement of national living standards, various costs such as raw materials, packaging materials, and labor have been rising, bringing enormous cost pressure to manufacturers. Wanchai Ferry has been deeply affected by rising costs. Starting March 1, 2019, Wanchai Ferry officially raised prices for some of its products, marking its first price adjustment in five years. Mondelez Foods In April 2019, the price adjustment notice from Mondelez Food Management (Shanghai) Co., Ltd. once again sparked heated discussion. The notice stated that due to significant increases in food raw material and packaging material prices leading to higher production costs, after careful evaluation, Mondelez decided to increase the supply prices for related product series listed in the attachment starting May 1, 2019. It is understood that the products affected by this price increase mainly include Mondelez's Oreo, Chips Ahoy!, TIPO, Prince, and Ritz biscuit series. Wang Shouyi Thirteen Spices Wang Shouyi Thirteen Spices, which had not changed prices since 2010, has also joined the 'price increase army.' Due to continuous increases in raw material prices in recent years, to ensure high-quality development, Wang Shouyi Thirteen Spices must adjust product prices. It is reported that the price increase involves four products: 45g Thirteen Spices, 45g Gold Card Thirteen Spices, 227g Thirteen Spices, and 227g Economy Thirteen Spices, with new prices of 248 yuan/piece, 374 yuan/piece, 220 yuan/piece, and 220 yuan/piece, respectively, effective April 1, 2019. Wuqiong Foods In May 2019, Wuqiong Foods issued a price adjustment letter, stating that due to the impact of African swine fever, prices of poultry, eggs, and various raw and auxiliary materials have risen rapidly, keeping costs high. To ensure quality and continue providing safe and healthy chicken products, the company decided to adjust prices for some products. Laoshan Seaweed In June 2019, the Chinese agents of the well-known Thai seaweed brand 'Laoshan' (also known as 'Tao Kae Noi'), Guangdong Hengyu Food Trading Co., Ltd. and Shanghai Changxiao Food Trading Company, successively issued price adjustment notices, stating that due to increases in production and labor costs, prices for Laoshan seaweed series products would increase starting June 10. Samyang Foods In June 2019, Samyang Foods' Chinese agent, Ningbo Free Trade Zone Ningxing Youbei International Trade Co., Ltd., issued a price adjustment letter. The document stated that due to exchange rate impacts, prices for Samyang brand series products would be appropriately adjusted, effective July 1, 2019. According to distributors, the adjustment mainly involves price increases. Price increases across various industries have become the norm, and the 2019 price increase wave will continue. Rising raw material prices, packaging, transportation costs, and employee costs—for manufacturers, any controllable or uncontrollable reason is a reason for price increases. Whether food companies or packaging and printing enterprises, they always face uncontrollable factors and can only passively accept price increases. For many small and medium-sized food enterprises, there is a joke that goes: Survived the off-season, only to die in the peak season. The food FMCG industry is one of the many downstream packaging users of the corrugated box industry and a very important customer source. However, under the repeated onslaught of rising paper and pork prices, the food industry, as one of the downstream pressure bearers, has no choice but to raise prices to protect itself. Source: Packaging Zone Tips will be paid 400-2000 yuan upon adoption.