Petrol, Diesel Price Rise Effect: Daily Use Products, Smartphones to Cost 5-8 Per Cent More as Fuel Rate Soars
There could be an increase of 5-8 per cent in prices of FMCG products starting from October.
New Delhi, Sep 7: The steep rise in diesel and petrol prices will soon have advergse impact on your pocket. Following a hike in fuel prices, companies are going to raise prices of daily use products such as soap, shampoo and biscuits. There could be an increase of 5-8 per cent in prices of FMCG products starting from October. Some companies have already raised prices of their products due to fuel price rise.
Besides spike in petrol and diesel prices, the hike in minimum support price (MSP) for farmers, and upwards movement in commodity prices will also lead to revision in MRP of some products, said a report published in The Economic Times. Petrol and diesel prices continue to rise on Friday. A litre of petrol is being sold at Rs 87.39 per litre in Mumbai and Rs 79.99 per litre in Delhi.
"The environment is inflationary, and it is not possible to hold on to prices going forward. We will have to increase prices by 5 per cent to begin with, to offset multiple pressures... we will try to balance value and volume growth," Varun Berry, managing director of Britannia Industries, told the newspaper. The fall in value of Indian rupee against the US dollar has worsened situation as India imports most of its crude.
Hindustan Unilever raised prices of its detergents, skin care and select soap brands 5-7 per cent last month. Similarly, Colgate Palmolive increased prices in some of its brands by 4 per cent last month. Parachute hair oil and Saffola edible oil maker Marico increased price of its value added hair oil portfolio by 7 per cent, according to a report by Jefferies.
Besides, daily use items, electrical appliances such as TV and laptops, and smartphones, for which components come from outside India, are also likely to turn dearer in the coming days. Some products of LG, Haier, and Godrej Appliances have already become expensive.
(The above story first appeared on LatestLY on Sep 07, 2018 04:05 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).