FMCG firms to hike prices again as palm oil affects margin

FAST-MOVING CONSUMER GOODS (FMCG) companies are likely to implement further price hikes in the coming weeks, particularly for products that rely heavily on palm oil.

- RAGHAV AGGARWAL

Despite some softening in prices of key commodities like coffee, palm oil continues to remain expensive, adding to cost pressures for manufacturers.

Speaking to FE, Manoj Verma, chief operating officer of Bikaji Foods International, confirmed that the company plans to raise prices by approximately 2% within the next 30-40 days. This would mark the second price revision in less than three months.

"While we have observed some softening in the prices of commodities such as dal and spinach, edible oil prices remain elevated and are unlikely to ease in the near future," Verma said. The company had already implemented a 2-2.4% price increase at the end of December.