Houston Community News >> Instant Noodle Prices Rises

7/26/2007-- Amid spiraling food costs, Chinese authorities are concerned about a sudden spike in the price of instant noodles – one of the nation's most popular dishes – state press reported yesterday.

The price of a packet of instant noodles has jumped an average 20% this week, and by as much as 40% in some cases, as manufacturers pass on the cost of a general rise in ingredients.

“We have noted the recent price rise of instant noodles and are keeping a close eye on this development,” an unnamed official with the commerce ministry was quoted as saying by the Shanghai Securities News.

China produced 46 billion packs of instant noodles last year, accounting for 51% of the world's production, according to the newspaper.

Thirty billion packets of noodles, costing the equivalent of around five to 35 cents (17 sen to RM1.20), were eaten in China last year, an average of about 23 packets for each person.

Experts said the spike in the instant food was mainly triggered by the increase in costs of raw materials such as palm oil and meat, the newspaper said.

Food prices in China soared 11.6% last month, pushing the overall inflation rate to 4.4% for the month and sparking nervousness from the government, which wants to keep inflation at or below 3%.  

(Contributed by AFP)