January 5, 2022

Sharply Rising Shipping Costs Trigger Price Hikes in Kosher Food Worldwide

New York…The constantly rising shipping costs from overseas and even domestically are partially responsible for the soaring kosher food prices in the US. European Jews have also been shocked at the rising prices and of late the price increases are being felt in Israel. Israeli food manufacturer and distributor Osem is raising the prices of its products by an average of 4.6%. In a letter sent to retailers, Nestle unit Osem reported that it is hiking the prices of its products 3% and 7%. "This rise partially covers the major price rises of inputs and shipping," the company said. It continued: "As you know, we have seen strong price rises globally for many months in raw material and packaging, prices and shipping costs. These are real price rises of tens of percentages (durum wheat 90%, coffee beans 80%, oils 65% and packaging materials 50%) and shipping costs have risen between 400% and 800%. To our regret, these rises continue and the financial repercussions are unprecedented in scope. After we have borne these costs for a long period, we have been forced to revise our retail price list." The statement was published in Globes, one of Israel’s leading business publications.