MUSCAT:A recent price hike by Mazoon Dairy has led to a widespread criticism on social media with many calling to boycott the company’s products.

However, Mazoon Dairy has clarified the reason behind the rise in prices. “This price hike is being done due to an increase in overall cost of operation mainly because of the changes in prices globally with regards to logistics and materials. We (Mazoon) resorted to the step of reviewing prices on some of our products because it affects the company’s obligations,” said Ahmed Al Ghafri, Chief Support Officer at Mazoon Dairy.

Speaking to the media on Sunday, Ali Al Buali, Chief Executive Officer of Mazoon said the price rise ranges from 10 per cent to 15 percent for some products. “The last change in milk prices was in 2008 and for the last 14 years we have not seen any revision in prices,” he added.

Al Ghafri said the decision to raise product prices was taken after consulting with government agencies. “We took this decision after consulting with government agencies specialized in monitoring price rise globally,” he noted.

Earlier in a detailed statement, Mazoon said: “The changes around the world during the past period have contributed to affecting international supply chains and the movement of goods and goods between countries, which affected the rise in production input costs and shipping and transportation costs by up to 70%, due to the direct and indirect effects of political and military conflicts, waves of inflation in global prices and economic impacts and logistical procedures for dealing with the spread of the Corona pandemic.”

“This forced the dairy and dairy production companies in the region to try to adapt to that rise by reviewing the prices of their products over the past two years to ensure the continuity of their business,” the statement added.

Mazoon Dairy, which has the highest Omanisation rate in the sector, with 70% of the total employees, was launched in 2019. When asked if Mazoon’s sales were affected due to the price hike, Al Ghafri had this to add: “The company (Mazoon) was found to survive, grow, and prosper. This is one of the experiences that any company goes through. We learn from it to raise our efficiency. It’s too early to judge the decline in the company’s sales. We rely a lot on the understanding of society. The company did not take this step because it wants to, but we are forced to take this step.”