Protein Price Increases Explained: August 31, 2021
The Supplement Industry, as well as the Food & Beverage Industry, continues to experience significant challenges, including:
- The impact of COVID-19 on the overall supply chain
- The growing inflation associated with raw materials, packaging & freight
- The rising costs associated with manufacturing and operations worldwide
For example, the whey industry has been particularly hit hard due to restaurant closures worldwide, resulting in less cheese being purchased. When restaurants stopped buying (less demand), suppliers reduced their production (less supply). Manufacturers were also operating at lower capacities to adhere to COVID guidelines, resulting in less output. Why would cheese impact NUTRITECH? Whey protein is a by-product of the cheese manufacturing process, and in 2021 there is less supply resulting in shortages and price increases.
As a result, whey prices have gone up 60%, and there is possibly not enough supply to purchase at the price increase. In addition to whey prices increasing, unfortunately, all of our raw materials are up 4% to 200%. We could have potentially found cheaper sources to avoid increases, but our promise to you has been to provide the highest quality ingredients for over a decade and continue to do so.
As a solutions focused company, we have been working fervently behind the scenes in order to bring to market a good quality protein at an affordable price point, enter new PROVEN NT PROTEIN, launching just in time to bridge the gap in the protein market. (Coming soon to SuppGuru)
This is not the news we had hoped to deliver; however, we are proud to have weathered the storm over the past year, thanks to our loyal customers. We appreciate your understanding, value your business and remain committed to providing you with superior service and exceptional products that help you on your journey to train like a pro.