The company has quoted “record-high” increases in raw material, energy, transportation, packaging and labour as the stimulus for the increases.
"Solae is not immune to these pressures and this new pricing is critical to our business and our ability to serve our customers," said Michele Fite, Solae vice president of global strategy and marketing.
Natasha Webster, senior manager of global communications for Solae, told FoodNavigator that the increases varied depending on the product and where they are located, and that price rises would be specific by customer.
The increase, the second of the year following an earlier increase in April, is due to factors such as the increased global demand for protein, spurred on by the growing middle classes in China, India and Latin America.
A drop in protein levels in this year's North American soybean crop is also hitting the company’s input costs. “While Solae is accelerating network capacity programs to mitigate the reduction in effective capacity and maintain its commitment to support the growing demand for soy protein, there is no near term solution for how to avoid the cost increase impact,” said the company.