Tropicana raising prices on orange juice

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Associated Press

Posted on March 8, 2011 at 5:00 PM

Updated Tuesday, Mar 8 at 9:01 PM

Tropicana says it will raise prices on some of its juices by 4 percent to 8 percent to cope with higher costs it is facing due to cold weather's impact on citrus crops in Florida.

The juice maker, which is owned by PepsiCo Inc., is the largest purchaser of Florida fruit and juice.

The company said Tuesday that it is coping with two extreme freezes, the coldest December on record and a smaller-than-expected crop for second year in a row.

Shoppers will be paying more for Tropicana Pure Premium and Trop50 juices, as well as Tropicana and Dole 100 percent fruit juices.

The full impact of the recent cold weather won't be known until June, but the U.S. Department of Agriculture reported this week that orange production is down slightly in Florida so far this winter.

Tropicana said it did not make the decision lightly and it always seeks ways to cut costs and improve its efficiency so it can sell products at competitive prices.

Tropicana's price hikes follow Coca-Cola Co.'s announcement in January that it would increase prices for its Minute Maid and Simply brands in the U.S. by 4 percent to 8 percent to cope with higher costs for commodities, fuel, packaging and fruit.

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