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Sunbeam delay price increases for growers

GROWERS have labelled the behaviour of Australia’s largest supplier of dried vine fruit, Sunbeam, as “poor” following a delay on price increases.

Growers left behind: Sunbeam growers will have to wait until December to receive their price increase for dried fruit from Sunbeam.
Growers left behind: Sunbeam growers will have to wait until December to receive their price increase for dried fruit from Sunbeam.

GROWERS have labelled the behaviour of Australia’s largest supplier of dried vine fruit, Sunbeam, as “poor” following a delay on price increases.

Merbein Dried Fruit Growers Union’s Malcolm Bennett said despite record global prices for dried fruit currently, due to a worldwide 50,000-tonne shortfall of dried sultanas, Sunbeam had only increased its dried fruit price by 2 per cent.

“On January 17 Sunbeam Foods announced their pricing for the dried fruit season,” Mr Bennett said. Sunbeam’s 2 per cent increase on January 17 for currants was $1900 per tonne.

On January 18 — Murray River Organics presented their dried fruit pricing — with currents increased to $2300.

Similarly on January 23, Mr Bennett said Australian Premium Dried Fruits outlined a pricing schedule with prices also reflecting buoyant levels, increasing their currants to $2200. Following this, last month he said Sunbeam “belatedly” sent out a letter with increases in prices, which would not be paid until late December. Sunbeam’s delayed February increase took currants prices to $2050.

“Dried fruit growers are wondering why Sunbeam was unable to pass on the record high world prices for dried fruit to the same extent as other packing companies, and furthermore, delay payments until December,” Mr Bennett said.

In a letter sent to Mr Bennett, Sunbeam said they believed markets would not fully support the level of increases proposed by competitors.

“Prices being achieved by vine growers in other countries are at temporarily high levels,” Sunbeam Foods general manager Grant Leyden said.

Mr Leyden said increases to consumers for non-discounted product would likely cause them to opt out of purchasing vine fruit. Sunbeam flagged their reason for increasing prices in February as wanting growers to not be “disproportionately disadvantaged” compared to others supplying their competitors.

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Original URL: https://www.weeklytimesnow.com.au/agribusiness/horticulture/sunbeam-delay-price-increases-for-growers/news-story/ff1172cdfb6b7e29751b27f6acc7bc00