FMCG companies consider price hike

Fast moving consumer goods (FMCG) companies, such as Hindustan Unilever, ITC and Godrej Consumer Products, are mulling over another hike in the prices of their products to combat increasing input costs, reports businesstoday.

HUL, which has recently revised the price of its popular soap brand Lux, said that their cost of manufacturing has gone up due to the rise in cost of vegetable oil. "We have increased prices of some products recently. But if the commodity prices continue the way they are, then I suspect there could be a further price rise," Nitin Paranjpe, chief executive officer (CEO) and managing director (MD), HUL, said, the report adds. With their margins coming under pressures the FMCG companies said they cannot hold out against price hike any longer, the report says. Source: businesstoday