Dabur, Emami, Parle signal no MRP cuts despite crude slipping below $80/barrel
FMCG majors say price relief is unlikely in the near term even as crude eases from $120 to under $80/barrel. Companies are still working through 2-3 months of high-cost inventory, with packaging costs up 15-50% and freight up 20%. Any consumer-facing cuts may only land by the festive season.
What happened
FMCG majors Emami, Dabur and Parle say MRP cuts unlikely despite crude falling below $80/barrel, citing high-cost inventory, elevated packaging (up 15-50%) and
Key facts
- $80/barrel
- $120/barrel
- 15-50% packaging
- 20% freight
- 2-3 months inventory
Why this matters
Watch for stressed mid-tier FMCG and packaging suppliers squeezed by the 2-3 month input-cost lag, as the gap between crude relief and MRP pass-through opens consolidation windows.