Last updated: 04/05/2026

 

Further to our recent communication regarding developments in the Middle East and global supply chain conditions, we would like to provide a further update on current market trends and the outlook for the coming months.

While Foodcare has maintained continuity of supply, cost pressures across raw materials, energy and freight continue to accelerate globally.

Below is a snapshot of key market indicators we are closely monitoring across our supply base.

 

Nitrile Butadiene Rubber (NBR)

 

 

  • Significant upward pressure across nitrile glove supply, driven by rising feedstock costs and tightening availability
  • Proposed increases in some segments are in the range of 30–40%
  • Forward pricing remains uncertain across parts of the market, reflecting ongoing volatility in input costs
  • Supply availability tightening across key regions, with some factories pausing production

 

Polyethylene (PE)

 

 

 

 

  • Oil and naphtha have increased sharply through March, driving higher polymer costs globally
  • Market increases of ~15–25% observed in key regions
  • Many factories are:

    • Offering pricing for April production only
    • Accepting May orders without confirmed pricing

 

Polypropylene (PP)

 

 

 

 

  • Finished product increases of 10–15% are now flowing through on March production
  • Further increases expected, with impact flowing into landed cost from May onwards

 

 

 

*Click to enlarge graphs 

 

 

Foodcare has absorbed these cost increases throughout February and March. However, given the sustained nature and scale of current market movements, it is important to advise that pricing adjustments are expected to be required.

 

From a supply perspective, the current supply environment remains unpredictable, with some NBR factories pausing production as mentioned earlier,

Typically, production consumables represent a small proportion of total production costs — yet a shortage or disruption can stop production altogether.

More commonly, “near‑miss” supply issues slow output, create inefficiencies, and drive costs even higher across operations.

 

We recommend customers work with Foodcare to establish a Forward Supply Plan (FSP).

  • Secure supply during periods of volatility
  • Improve forecasting and continuity
  • Reduce the risk of unplanned disruption
  • Support better cost control over time
     

Your Foodcare representative is available to review your forward requirements and discuss options tailored to your operation.
or contact our friendly team on 1800 211 290 or team@foodcare.com.au

 

We will continue to closely monitor market conditions and keep you updated on a regular basis.

 

 

 

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