Fyffes has issued a warning that the rise in shipping fuel costs will have an impact on its full year results for 2006.
“The recent significant increase in the cost of shipping fuel has been higher than anticipated by the group and is not being recovered in current selling prices,” the Irish produce supplier said in a statement. “This situation is expected to persist in the medium term. Accordingly, and despite better than anticipated exchange rates, Fyffes currently expects that the impact of these factors on its full year results in 2006 will be of the order of €9 million.”
Fyffes’s financial year is in line with the calendar year and a spokesman for the company said that shipping fuel prices have risen 25 per cent in the first four months of the year.
