New Year's food items, freezes, TVs will be expensive due to significant increase in input costs

New delhi date. 25 December 2019, Wednesday

People suffering from the scourge of blackout inflation will have to be ready to bear prices in the coming New Year as well. The circles associated with the move said that FMCG and electronics companies have been conducting price hikes in the new year in view of the increase in input costs of food items and electronics manufacturing companies. Many commodity prices, including wheat, edible oil and sugar, have increased in the range of 3-5%. This will force them to raise prices or reduce the pack size. Milk prices have also risen recently.

Thus, due to the increase in input costs of all items, it is expected that the packaged food company will have to raise prices or reduce the size of small price packets.

It should be noted here that there has been a time of pressure in the biscuits, instant noodles, snacks, frozen food, cakes and ready-to-packaged food segments. When consumers are hesitant to spend. It is worth mentioning that, food inflation in India has reached a six-year high of 5%. On the other hand, the input cost pressure is very high.

Companies can reduce input costs and increase input costs by increasing prices, but food inflation is unlikely to decline, companies in the sector said. The marginal pressure was partly compensated for by the reduction in corporate tax. Under normal circumstances, we would have increased the price and reduced the size of the packet. We will also have to consider raising prices while not controlling commodity inflation, ”the FMCG company sources said.

The price of television panels in Consumer Electronics has risen 5-7% globally. Due to this, companies will be forced to raise prices from January. Also, the government has tightened the energy rating rules because of the increased cost of production of refrigerators.

Under these circumstances, prices will rise by 3-5% from the middle of next January. On the one hand, with the ever-increasing inflation, the population is flourishing. As the price of the fridge increases, the difficulty of the general class will increase.