NIAGARA FALLS, N.Y. — Niacet Corp. said it will raise the off list prices of calcium propionate and sodium propionate by 5c per lb, not to exceed list price, effective Dec. 15, or as contracts and agreements allow.
“In 2004 Niacet doubled its capacity for calcium propionate with the addition of our low-dust CrystalPro product,” said Michael Bowers, director of sales and marketing. “As of October 2011 Niacet completed a 5,000-tonne expansion of our low dust CrystalPro facility. Niacet has been the only propionate producer to increase capacity in the last five years. As the global leader in calcium propionate production, Niacet is determined to maintain ample supply of propionate to the baking and agricultural market.”
While acknowledging that recovering cost increases is difficult during the current economic times, Mr. Bowers said if adequate returns are not maintained, capital required for expansion of capacity to meet demand “is difficult to justify.”
“In the last two years, pricing for calcium and sodium propionate has not kept up with cost increases, despite increased global demand for the mold inhibitors,” he explained. “Niacet looks forward to meeting your continued needs for calcium and sodium propionate. We will continue to do all that we can to meet your chemical product and service needs.”