Parle Products eyes second round of price hikes of around 10-20% in Q3, Q4

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Parle Products, one of the leading manufacturers of biscuits, snacks and confectioneries in the country, said it was eyeing a second round of hike in prices of its products of around 10-20 percent in third and fourth quarter of the ongoing fiscal (FY22).

The biscuit major had already taken a price hike in the last quarter (Q2) between 10-15 percent due to ‘tremendous’ input cost pressures.

In an exclusive interview with CNBC-TV18, the company cited rise in prices of key ingredients such as oil, wheat flour, and sugar the main reason for the price hike.

The second round of hikes will cover its products across categories i.e., its biscuits, confectioneries and snacks, it added.

Parle's Rusk price to be hiked by Rs 10 for 300 gram pack and Rs 4 for 400 gm pack. Prices of Parle biscuits, like ParleG, Krackjack etc are expected to be increased by around 5-10 percent.

In its low-unit products category, where prices continue to be in the Rs 10- Rs 30 range, the company has reduced packets' weight. For instance, a 50 gram pack priced at Rs 10 will continue to be priced at Rs 10 but the weight will go down.

Parle recently announced their entry into the breakfast cereal market through its popular brand "Hide & Seek".

"Our entry into the niche breakfast cereal industry will give a fresh perception of the values and character represented by the ‘Parle Products’ name," Parle Products Senior Category Head Krishnarao Buddha had said.