Air conditioners, TVs and kitchen appliances will get more expensive as companies consider price hikes – The New Indian Express

Express press service

NEW DELHI: Air conditioners, TVs and kitchen appliances are all about to get expensive as most consumer goods companies are eyeing price hikes. Prices for these products could increase by around 5% by March this year, as industry experts believe that inflationary pressures are likely to continue over the medium term.

Hitachi started the new year with new prices, which will be almost 4% higher than in December.

“Until December 2021, prices were higher than in December 2020 by at least 6-8%. The way things are progressing on commodities and on other fronts, prices will need to be raised another 3-4% shortly,” according to Gurmeet Singh, President and CEO of Johnson Controls-Hitachi Air Conditioning. India Ltd.

For example, a 3-star Split Inverter Air Conditioner that sold for 33.5k until last year has now reached 36.5k to 37k, Singh explains.

“The promotions that were offered with the ACs until last year have also been taken to a much lower level this year,” he said.

Fans and Appliances Usha International also says another price hike of 3-5% across various Stock Keeping Units (SKUs) is imminent in the fourth quarter. Last year, the company increased its prices by 12-15% in all categories.

On whether the price spike will cool off in the near future, Saurabh Baishakhia, President, Appliances, Usha International says, “Right now, it looks like the price spike is here to stay, but with a business recovery, the economy growing, we may be able to calm prices.

Soaring raw material, manufacturing and logistics costs amid disruptions to global supply chains and an increase in fuel prices are primarily responsible for the price hike.

Nirupam Sahay, Managing Director and CEO, Lighting and Consumer Durables, Surya Roshni, informs that the last price increase in the business was 5-10% in August 2021. “We will probably take another price increase in the coming months,” he said.

Kitchenware company Vinod Cookware had also increased the price by around 10-15% for all products in September 2021. Company director Sunil Agarwal said: “So far the situation is volatile.

TV company Daiwa noted that the cost of Open Cell has come down in recent months, although the cost of freight has started to rise again. The brand will not increase its prices this month but is monitoring the market situation.

Panasonic Life Solutions India, maker of electrical building materials, fans, water heaters, etc., says there has been a continuous increase in commodity prices over the past 12-18 months. Although the company absorbed a significant portion of the increased cost of inputs and improved its manufacturing efficiency through various means, much of the cost escalation was still passed on in the form of increased price to the consumer. final.

Karl M. Bailey