Leading FMCG makers Britannia, GCPL, Dabur, HUL and Tata Consumer plan calibrated price hikes in Q2 FY27 as input costs stay high.

Most of these FMCG companies already raised prices by around 2 to 5% in the June quarter.

Now, with commodity costs and geopolitical tensions still weighing on margins, several are turning to smaller, more selective tools instead of blanket hikes, including shrinking pack sizes rather than raising sticker prices outright.

Britannia is a clear example. The biscuit maker’s management said it plans another 1.5 to 2% worth of pricing action this quarter, largely through shrinkflation on its Rs 5 and Rs 10 packs, as sugar and palm oil costs remain elevated.

The company said most of its pricing-led growth in the June quarter already came from this route.

Even so, management described the demand environment as strong and expects to hold FY27 margins around last year’s levels.

Godrej Consumer Products, which raised prices by about 5% in the June quarter, is being more cautious this time.

Its leadership pointed to volatile crude oil prices as the reason for holding back on bigger hikes, noting that many input costs track crude with a three to four week lag.

With Brent trading around $80 to 85 a barrel, the company feels its current pricing is largely sufficient for now.

Dabur expects elevated costs to persist and plans calibrated hikes alongside efficiency measures to protect margins, while still targeting double-digit revenue growth for the year.

HUL is expecting sequential inflation of 2 to 5% this quarter and plans to keep taking calibrated pricing action.

Tata Consumer’s leadership said further pricing moves are possible if costs stay unpredictable, though the company wants to avoid hikes that aren’t clearly justified.

Nestle India struck a more cautious note, flagging that overall consumption could slow in the near term given ongoing tensions in West Asia and the uncertain monsoon outlook.

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