Nutty problems for spread

Last updated 21:52 21/08/2014

Relevant offers

Food & Wine

Five ways to spot a filthy coffee machine Seven foods to avoid on your first date Recipe: Angelique van Camp's peanut sauce Run of West Coast whitebait festivals to celebrate region's 'white gold' Marlborough pinot named best-in-show at prestigious international competition Review: Grey Lynn RSC Can a high school serve up a five course dinner worth the $75 ticket price? Restaurant review: Francesca's Italian Kitchen, Christchurch Piece of New Plymouth's hospitality history up for sale Restaurant Review: Wellington's Sterling Woodfire Eatery & Bar

If it hails in Turkey does the price of Nutella rise in New Zealand?

Maybe, given that hazlenut prices have surged 60 per cent this year to a decade high.

The sharp rise follows hail storms and frost in late March which destroyed hazel flowers on the steep slopes near Turkey's Black Sea coast where about 70 per cent of the world's hazlenuts are grown.

Hazlenut prices have risen from US$6500 (NZ$7700) per tonne in February, to US$10,500.

The Guardian reported the full extent of the damage was not yet clear, but the Turkish industry was braced for a harvest as low as 540,000 tonnes, compared to pre-frost expectations of up to 800,000 tonnes.

Italian-based company Ferrero, which makes the hazlenut spread Nutella, used 25 per cent of the world's hazlenut supply, making 180 million kg of the spread each year.

But the company could be insulated from the latest price moves after recently buying Turkey's largest hazelnut processor Oltan, which has eight factories shelling, chopping and roasting nuts.

Ferrero USA released a statement saying there was no foreseeable impact on the availability of Nutella in that country. The company said nothing about price impacts.


Ad Feedback

Recipe search

Special offers
Opinion poll

How does a strong cup of coffee make you feel?

More alert and awake

Jittery, anxious

It gives me an upset tummy

I feel no effect

Vote Result

Featured Promotions

Sponsored Content

Laura Faire Cookbook Promotion