New Delhi
As the new year begins, the burden on the pockets of common consumers is going to increase further. Major FMCG companies of the country, such as Hindustan Unilever, Dabur, Godrej Consumer, Parle Products, Nestle, and Adani Wilmar, are preparing to increase the prices of their products. The impact of increase in production cost and custom duty will now be clearly visible on everyday products like tea leaves, soaps, oils and creams.
With a 22% increase in duty on edible oil imports in September 2024, its cost has increased by 40% in the last one year. Similarly, the impact of inflation has also been seen on the production of sugar, wheat flour and coffee.
Brands like Parle and Dabur increased prices
Parle Products Vice President Mayank Shah has confirmed that the company is preparing packaging for its products with new prices. He said that this increase will not affect consumer demand much. At the same time, Dabur has increased the prices of healthcare and oral care products, while Nestle has increased its coffee products.
Impact on rural and urban markets
According to retail data, rising demand in rural areas gave the FMCG sector an annual growth of 4.3% in October 2024, but sales recorded a decline in November. Companies hope that urban consumers will be able to afford these increased prices.
