Feb. 7 (Bloomberg) -- Coca-Cola Co., the world’s largest soft-drink maker, will see its spending on commodities increase this year because of higher costs for sweeteners and juices, Chief Financial Officer Gary Fayard said.
Costs will increase between $350 million and $450 million, compared with a rise of $800 million in 2011, when the Atlanta- based company spent more on sweeteners, juices, metals and plastics, Fayard said today during an earnings conference call with analysts and investors.
Coca-Cola makes Minute Maid and Simply Orange juices. Before today, orange-juice futures were up 17 percent in the past year, reaching a record $2.2695 a pound on Jan. 26 on ICE Futures in New York. While raw-sugar futures are down 25 percent from a year ago, last year’s average of 26.73 cents a pound was the highest since 1980 and more than double the average of 2008.
--Editors: Steve Stroth, Thomas Galatola
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