Subsidy reductions, imported feed costs and inflation cited as causes
Share on twitter
Share on facebook
Share on linkedin
Share on whatsapp
Share on email

Saudi Arabia’s Almarai, the Gulf’s largest dairy company, reported on Sunday a 14.7% drop in fourth quarter profit, citing subsidy reductions, imported-feed costs and inflation for farm and dairy commodities, reported Reuters.

Almarai made a net profit of 286.5 million riyals ($76.38 million) for the three months through 31 December, down from 335.9 million riyals in the same period a year earlier ($1 = 3.7509 riyals).

The company said it was hurt by the lack of subsidies for corn and soy last year. Results were also affected by alfalfa feed consumption moving to a 100%-import basis. General cost rises for farm and dairy commodities also hit its margins, mostly in the second half of the year, Almarai said.

In dairy risk management, one size does not fit all. Throughout recent history, a number of dairy-related risk management programs, some available through private crop insurance providers and others available through the Farm Service Agency (FSA), have been designed to fill gaps in protection against market risk and uncertainty.

You may be interested in

Deja una respuesta

Tu dirección de correo electrónico no será publicada.

To comment or reply you must 

or

Related
notes

Cerrar
*
*
Cerrar
Registre una cuenta
Detalhes Da Conta
*
*
*
*
*
Fuerza de contraseña

SUBSCRIBE TO OUR NEWSLETTER