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DSM announced ten per cent citric acid price rise


DSM Nutritional Products said this week that it is upping the price of all of its citric acid, produced in Belgium, on a worldwide basis by ten per cent. The increase, which is effective immediately, is said to be "due to cost increases in raw materials and in energy".

DSM is by no means the first to mark up citric acid this year.  In August Cargill sent a letter to customers announcing a $0.10/lb increase to contract sales of the ingredient, in an effort to approach the $0.60/lb price range that it says it need to achieve.

Last month, Jungbunzlauer said it is increasing the price of its citric acid, amongst other ingredients, by a double-digit percentage.

Citric acid currently dominates the category of organic acids. On the back of numerous applications for the ingredient, consumption is expected to grow strongly until 2009.

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