EHL reports that the wholesale cost of cassia cinnamon has risen by around 20% year-on-year (Feb 2013 vs Feb 2014), which it attributes to heavy rainfall in Indonesia (from where EHL’s cinnamon is sourced) having a detrimental effect on cinnamon crop yields in the region, leaving the spice in short supply.
In addition, customer demand for cinnamon, in ground format and in whole quills, has also increased among UK food manufacturers, bakers, wholesalers and retailers.
“Faced with increasing demand for this popular and versatile spice, we are working to ensure that prices remain as stable as possible at EHL,” said Tasneem Backhouse, sales director at EHL Ingredients. “Predictions show that the wet weather in Indonesia is due to peter out in the next couple of months, which should ensure optimum conditions for the drying process and a stabilisation of prices.”
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