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FMCG cos make packaging changes to cut cost

FMCG majors such as Hindustan Unilever and Parle Products are reducing their packaging costs in the face of runaway food inflation, reports The Economics Times.

February 19, 2011 / 12:47 PM IST
 
 
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FMCG majors such as Hindustan Unilever and Parle Products are reducing their packaging costs in the face of runaway food inflation, reports The Economics Times.


While most consumer goods companies have periodically reduced the weight of packets to deal with increasing input costs, packaging firms are working on developing newer, cheaper packaging materials to control costs. The measures include tweaking the size and thickness of packages as well as replacing costly material with lower-cost alternatives, the report says.


Tetra Pak India, which has a 90% share in packaged fruits and juices segment, introduced smaller, 60-65 ml and 100-110 ml pack offerings, for brands such as Parle Agro's Frooti.


"We have already deployed some lower-cost alternative packaging into the market," Tetra Pak India MD Kandarp Singh said.

Source: The Economics Times

first published: Feb 19, 2011 12:46 pm

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