A global butter shortage has churned up some concern among local bakers because the price of the product here is seeing a steady increase.

Part-time home baker Arvin Reuben, 34, said he was surprised to find that the regular block of butter from New Zealand which he uses for his cakes is now either out of stock or getting hard to find.

One slab usually costs RM7.60 but Arvin has had to settle for alternative brands.

“As a baker, even a RM1 difference is expensive but I was surprised when advised to buy butter in bulk.

“But my suppliers said it is best because the price will increase even more. I was horrified because I get a lot of orders for cakes during the Christmas season.

“So, I bought 40 blocks of butter, each costing RM8.90. I was told the price would increase to RM12.90,” said Arvin, who has been in the business for about seven years.

He said he usually receives more than 100 orders for fruitcake and butter cake around Christmas, so he will require at least 70 blocks of butter.

“I am looking for alternatives. I suppose I can use vegetable or coconut oil for my chocolate cakes but for a classic butter cake, how can I use oil?

“My customers are already complaining because I have increased prices slightly; it’s not just the butter price that has gone up but also that of the other ingredients,” he added.

It was reported that the decline in global milk production and a slowdown in butter production in traditional regions such as the European Union and the United States have contributed to the shortage.

Another home baker, Selina Netto, is also concerned about the increasing price of butter.

“It has gone up by at least RM2, depending on the type and where you buy from. But I have not increased my prices so far.

“The rise in butter prices has reduced my profit margins but I will see how things are until January and decide after that,” she said.

Netto said she has stopped making butter cakes for now and focuses on sugee cake and fruitcake.

“But sugee cake requires a little more butter compared to the classic butter cake,” she said.

Famous cake outlet Just Heavenly co-owner Nigel Skelchy said prices of butter have increased by a lot over the past three years.

He said a 227g block of butter from New Zealand was RM8.20 last year but is now RM10.89.

“The business environment is tough. We increased our prices by 10% earlier in the year.”

His business uses up to 100kg of butter a month.

Source:
courtesy of THE STAR

by Hemananthani Sivanandam

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