Now Reading: FMCG firms plan price hikes as input costs rise
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FMCG firms plan price hikes as input costs rise
Several large FMCG companies, including Britannia, Hindustan Unilever, Godrej, Dabur, and Tata Consumer, are preparing to raise prices on select products in the September quarter due to rising input costs and geopolitical…
The Story in Brief
Several large FMCG companies, including Britannia, Hindustan Unilever, Godrej, Dabur, and Tata Consumer, are preparing to raise prices on select products in the September quarter due to rising input costs and geopolitical uncertainty, reports Business Today. Companies raised prices by 2-5 percent in the June quarter.
Britannia has indicated an additional rise of 1.5-2 percent on 5 and 10 rupee biscuit packets, citing higher sugar and palm oil costs. HUL's CEO Priya Nair said price revisions may continue. Godrej and Dabur are monitoring commodity costs, while Tata Consumer didn't rule out changes. Companies may also reduce product quantities in some packs. The decision hinges on raw material cost trends in coming months.
The Indian Opinion
For months we were told commodity prices were cooling and rate cuts would follow. Now FMCG firms pleading input costs want us to pay more for biscuits and soap, while the same inflation gets blamed partly on the tariffs that made gold costlier. The real test is not what companies say now, but the wholesale price index for food and the latest diesel or fuel price. Watch whether supermarket shelf prices rise by more than official inflation, and that will settle who is being squeezed.
Sources (3): bazaar.businesstoday.in, bazaar.businesstoday.in (2), bazaar.businesstoday.in (3)
This story was synthesised by AI from the 3 sources linked above.
