FMCG companies plan to keep prices steady through festive season despite rising costs
Major Indian FMCG firms say they will hold retail prices steady through the Diwali period, even as commodity costs climb.
Leading fast-moving consumer goods companies in India have indicated that they will maintain current price levels through the Diwali festivities, despite a backdrop of rising commodity prices such as sugar, edible oils and packaging materials. Executives note that firms applied modest price increases of roughly 2-5% in the June quarter to offset input cost pressures, but further hikes are unlikely before the holiday period ends.
Hemant Malik of ITC's Foods Division emphasized that the firm is absorbing much of the inflation through cost-management initiatives. Dabur India's CFO Ankush Jain said the company has adjusted prices on a few items but is monitoring the market closely. Parle Products' CMO Mayank Shah added that strong demand and recent government actions easing sugar prices support the decision to hold prices steady. The sector remains focused on operational efficiencies to sustain profitability while prioritising volume growth.
Why it matters
Price stability during the festive season helps keep essential household goods affordable for consumers.
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