Food makers are dealing with rising cost of raw materials

08/12/2010 | Wall Street Journal, The

Faced with rising costs for raw materials such as cocoa, powdered milk, coffee and tea, food and drink makers are faced with a tough decision in a sluggish economy: Raise prices or watch profit margins narrow. One analyst is leaning toward price hikes. "Overall I don't see margins for the big food guys significantly declining," says Warren Ackerman, director of equity research at Evolution Securities.

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Wall Street Journal, The

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