Osem, the Israeli branch of Nestle, has announced another round of price increases, affecting a wide range of household staples such as baby formula, instant meals, coffee, and more—with some items rising by as much as 9%.
In a statement released Thursday, Osem attributed the hike—averaging 2.2% across its product line—to mounting “production costs,” without offering specifics.
Despite the stated average, reporting by N12 reveals that actual price jumps will be far more noticeable for consumers, with critical food and baby items seeing increases as high as 9%.
According to the breakdown provided, snack prices will go up by 5%, powdered soup and croutons will also see a 5% bump, hot meals will become 4–6% more expensive, baby formula is set to climb by 7%, and coffee will take the biggest hit with a 9% surge.
This marks the company’s second price hike since the beginning of 2025 and the third in less than a year. The previous raise, in January 2025, also averaged 2.2%, yet specific items like chocolate, coffee, baked goods, condiments, and Sabra-branded products saw sharper increases ranging from 4% to 9%.
A similar move occurred in May 2024, when Osem adjusted prices on a slew of items—such as baked snacks, drinks, pre-made dishes, and ptitim—raising them by anywhere from 2% to 7%.
“Due to continued significant increases in raw material and packaging prices, production costs, and logistics costs at the company’s factories in Israel, we are forced to update the price list for the company’s customers on a small portion of the company’s products,” Osem said in its Thursday statement.
Reacting to the announcement, Opposition leader Yair Lapid condemned the government for what he sees as inaction in the face of rising consumer costs.
“Next month, prices will go up for: coffee, snacks, Materna, ready meals, soup powders, bread crumbs, and croutons. How many unnecessary government ministries will be canceled? Zero. How much coalition funding will be canceled? Zero. How much does the government care that the middle class is collapsing under these price hikes? Zero.”
{Matzav.com Israel}