SLMG Beverages Warns Middle East Conflict May Lead to Price Increases

Deep News
03/23

An executive at SLMG Beverages, the largest bottler of Coca-Cola in India, stated that the company may raise prices on certain products if it cannot absorb rising packaging costs linked to the conflict in the Middle East. The war has driven up expenses for key packaging materials—from plastic bottles to caps, labels, and cartons—prompting some packaged water producers to already implement price hikes. Rahul Kumar, Deputy CEO of SLMG, mentioned in an interview earlier this month, "If the conflict persists, packaging material costs are likely to keep increasing." He added that any price adjustments would depend on factors such as competitors' responses and consumer willingness to accept higher prices. Kumar noted that in the highly competitive soda market, which includes multiple national and local players, there is limited room for price increases, and no across-the-board price hikes have occurred so far. He said SLMG will re-evaluate its pricing in April.

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