Kraft Heinz CEO Miguel Patricio said Monday he does not see higher inflation and supply chain issues ending in the near future.
“We’ve already increased the prices that we were expecting this year, but I’m predicting that next year, inflation will continue, and as a consequence [we] will have other rounds of price increases,” Patricio explained to CNN Business.
A few months ago, the company hiked prices by 12.4 percentage points. However, Patricio said it tried “to minimize inflation on everything we do,” noting it would be easy to let the price fall on consumers but such a move comes with consequences.
Patricio’s company has become more efficient in its factories and worked to keep an eye on procurement costs to make prices affordable for consumers.
Kraft logo outside of the company’s headquarters in Northfield, Illinois. (AP Photo/Nam Y. Huh)
Kraft Heinz has also explored different packaging and pricing options, but “it’s a constant fight” in trying to cut costs that continue growing, Patricio stated.
A significant number of American CEOs do not have a good outlook when it comes to the economy, a recent KPMG survey found.
A cashier assists a customer at a checkout counter at Harmons Grocery store in Salt Lake City, Utah, (George Frey/Bloomberg)
Ninety-one percent of those surveyed believe there is a recession looming, but CNBC international financial journalist Arabile Gumede explained recently that revised GDP numbers show citizens are currently suffering a recession, according to the technical definition.
The White House recently celebrated President Joe Biden’s (D) “Inflation Reduction Act” while consumer prices jumped again the month prior, Breitbart News reported September 13.
“The Bureau of Labor Statistics’ Consumer Price Index released Tuesday morning shows that inflation in August rose one-tenth of a percentage point from July and up 8.3 percent from the previous year,” the outlet said.
Meanwhile, 93 percent of registered voters are worried about skyrocketing inflation and the state of the economy as the midterm elections approach, a recent Politico/Morning Consult poll found.
“The issue of inflation is likely to hurt Democrats in the midterm election. Sixty-four percent say Biden’s economic and energy policies were either very or somewhat responsible for inflation,” according to Breitbart News.
COMMENTS
Please let us know if you're having issues with commenting.