Instant noodles to join price hike

A customer with her kid chooses instant noodles at a supermarket in Beijing July 24. Chinese instant noodle brands decide to raise the prices of their products to alleviate burdens brought by the soaring cost of materials.
July 24 - Domestic instant noodle brands that are priced below 1 yuan, or 0.13 US dollars will on Thursday join a nationwide price hike, the result of the soaring cost of materials.
An official with the China Branch of the International Ramen Manufactures Association (IRMA), Meng Suhe, said the prices will on average be raised by 20 percent, and no highest than 40 percent.
This is the latest step of the burdened industry to ease the side effect brought about by rising costs. Leading instant noodle manufacturers, including Master Kong and President, last month raised the prices of their products.
The prices of brands sold above 1.5 yuan per bag were increased by 0.2 yuan, on average, back in June.
Sources close to the industry reveal that the sector has been severely affected by booming materials price hikes since last year.
The price of palm oil, a major ingredient that can account for 18 percent of noodle production costs, has risen to around 8,000 yuan per tonne, up from 4,200 yuan in 2006.