By Admin 
Price Hike Alert: Due to increasing tension between Iran, America and Israel, economic pressure has also started increasing and inflation has started showing its effect. If the situation continues like this, then within a few days, everyday essentials including soap, soda and cooking oil will become expensive. This will make it difficult for common people to survive. Fast-moving consumer goods (FMCG) companies are preparing to increase prices once again from the first quarter of financial year 2027.
What came to light in Nuwama’s report
According to a report by Nuvama Institutional Equities, input costs are increasing due to the rapid increase in crude oil prices and weakening of the rupee. Due to this, it is now becoming difficult for the companies to keep the prices stable. The brokerage firm’s report estimates that if the current inflation of raw materials continues, prices will increase by at least 3 to 4 percent in the first quarter of FY 2027.
However, the impact in Q4FY26 is expected to be limited due to current stock levels, but as these stocks are depleted, the industry is preparing for change. “In our view, companies typically hold 30-45 days of raw materials and finished goods, so there is a possibility of a price increase in the first quarter of FY 2027,” Nuwama’s report said.
Strong companies on increasing rates
Let us tell you that almost every FMCG company packages its products (soap, biscuits, shampoo) in plastic, which is made from oil. Now packaging will cost more, so companies will also sell their products at higher prices. Apart from this, due to cost of crude oil, expenses on logistics are increasing. From rental of containers to insurance of ships has become expensive. India imports not only crude but also a large part of edible oil from other countries through sea route. If the supply chain breaks, cooking oil will automatically become expensive.
Also read:
Reduce the burden of credit card bills and personal loans, this advice from experts will change your life.