Indian FMCG braces for fresh 3-7% price hikes as raw material costs surge in H1 FY27

Systematix Research flags 8-10% input cost inflation hitting F&B and HPC players, with palm oil up 11%, Brent crude up 32% and HDPE packaging up 56%. Companies expected to lift prices and trim grammage to defend margins, with gross margins already contracting ~50 bps YoY.

— Filed Thu, 28 May, 2026, 09:24 IST · Source BL · Consumer & Economy · Updated

Systematix Research warns Indian F&B and HPC companies will likely raise prices further and cut grammage in H1 FY27 to offset 8-10% raw material inflation, with palm oil, crude and HDPE packaging costs surging and gross margins under pressure.