IFF Announces Global Price Increases Across All Divisions

Rhea-AI Summary

IFF (NYSE: IFF) has announced broad-based pricing actions across its four divisions: Nourish, Health & Biosciences, Scent, and Pharma Solutions. This decision is a direct response to rising raw material, energy, and logistics costs due to the geopolitical climate. The company will implement dynamic pricing, with adjustments based on specific product cost increases, ensuring that product prices reflect current market conditions. Account managers will communicate pricing changes to specific clients.

Positive

• Implementation of broad-based pricing actions across all divisions to address cost increases.
• Adoption of dynamic pricing to better reflect market conditions.

Negative

• Pricing increases may lead to reduced customer demand as clients adjust to higher costs.
• Dependence on external geopolitical factors could lead to further cost escalations.

NEW YORK--(BUSINESS WIRE)-- IFF (NYSE: IFF) today announced that it is implementing broad-based pricing actions across all four divisions – Nourish, Health & Biosciences, Scent, and Pharma Solutions. The immediate need for these price increases is driven by the continued and significant escalation of raw material, energy and logistics costs as a result of the current geopolitical climate.

Pricing actions will vary by business and be driven by specific product cost increases. These actions will include more frequent pricing reviews – dynamic pricing – to ensure IFF product reflects current market realities.

Actions on specific accounts will be communicated by the respective account managers.

Welcome to IFF
At IFF (NYSE: IFF), an industry leader in food, beverage, health, biosciences and scent, science and creativity meet to create essential solutions for a better world – from global icons to unexpected innovations and experiences. With the beauty of art and the precision of science, we are an international collective of thinkers who partners with customers to bring scents, tastes, experiences, ingredients and solutions for products the world craves. Together, we will do more good for people and planet. Learn more at iff.com, Twitter, Facebook, Instagram, and LinkedIn.

© 2022 by International Flavors & Fragrances Inc. IFF is a Registered Trademark. All Rights Reserved

View source version on businesswire.com: https://www.businesswire.com/news/home/20220316006008/en/

Michael DeVeau

Chief Investor Relations & Communications Officer

212.708.7164

Michael.DeVeau@iff.com

Source: International Flavors & Fragrances Inc.

FAQ

What are the new pricing actions announced by IFF?

IFF has implemented broad-based pricing actions across its four divisions to address rising material, energy, and logistics costs.

How does IFF's pricing strategy impact its business?

The pricing strategy aims to ensure that product prices are aligned with current market realities, but may lead to reduced customer demand.

When will IFF communicate pricing changes to clients?

Pricing changes will be communicated to specific accounts by their respective account managers.

What divisions are affected by IFF's pricing actions?

The pricing actions affect all four divisions: Nourish, Health & Biosciences, Scent, and Pharma Solutions.

What is driving IFF's price increases?

Price increases are driven by the significant escalation in raw material, energy, and logistics costs due to the geopolitical climate.