Dawn Food Products Bracing For Price Increases

Dawn Food Products Inc., one of the world’s largest independently owned bakery manufacturers and distributors, said it will increase prices for orders placed on and after July 1, 2008.

“We are seeing unprecedented rises in commodity and ingredient markets along with dramatic increases in general transportation costs, especially diesel fuel,” said David Kowal, president of 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.

“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,” Kowal said.

The company said it will continue to work to effectively manage costs by improving its supply chain management, and it is reviewing all business practices to maximize efficiencies and streamline the organization to control costs.

American-owned and family operated, Dawn supplies a complete line of mixes, bases, icings, glazes, fillings, frozen dough, par-baked and fully baked products and equipment to the food industry worldwide.


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