Good Budget or not, prepare to pay more for daily-use items from cooking oil to soap

Dr Ramkishen Y, Professor - Marketing and International Business, K J Somaiya Institute of Management shared his thoughts in an article titled 'Good Budget or not, prepare to pay more for daily-use items from cooking oil to soap' in India Today.
The article talks about how Indian FMCG companies are increasing prices by 3-5% in 2024 or resorting to shrinkflation (reduction of grammage in packs) and it looks like they will do the same in 2025 as well. The worst-hit segments are soaps, hair oils, chocolates and biscuits.
Dr Ramkishen further explains that households may cut discretionary spending, impacting non-essential FMCG categories and that consumers might switch to cheaper alternatives, including local brands or smaller pack sizes. In his opinion, there is no immediate relief as disruptions from macroeconomic factors might take a few more months to settle down due to a volatile geopolitical environment.