Price hike for winter molasses

By FWi staff

FEED molasses prices have risen by 15/t for next winter due to increased freight costs and greater demand, according to a leading supplier.

This takes standard cane molasses to about 105/t delivered, depending on location.

Phil Holder, sales director of SvG Intermol, says that average molasses freight costs have increased by 40% over the year.

“These form a very significant proportion of the molasses price and have an inevitable knock-on effect.”

Greater demand for molasses in producing countries for industrial use, and as a feedstuff in other countries, have also contributed to the price rise.

However, David Clarke of KW Alternative Feeds, reckons demand has remained fairly steady, although agrees that freight costs have increased.

“Prices are up about 15/t but this is quite usual at this time of year as less is being produced,” he says.

By the winter prices will start to drop back again as it becomes more competitive and more product is made available, adds Mr Clarke.

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