Expensive Basics
Business Today|July 11, 2021
WHY AND HOW THE RECENT SURGE IN FMCG PRICES IS HURTING MIDDLE CLASS HOME BUDGETS AND COMPANY BALANCE SHEETS
AJITA SHASHIDHAR AND SUMANT BANERJI
Expensive Basics

Thirty-five-year-old Kajal Roy has over the past few months been paying almost 50 per cent more for a five-litre can of edible oil. “It’s become extremely expensive. I checked out other brands but they are as expensive. One can’t run the kitchen without edible oil,” the home-maker says, while pushing her shopping cart through a neighbourhood supermarket in Mumbai. “My grocery bill has gone up substantially, but all of us are home-bound because of the lockdown, so we are hardly spending on anything else. Therefore, I am not complaining.”

In Nagpur, kirana store owner Rajesh Reddy has seen 70 per cent lower revenues for the past three months. He is not sure if the second wave of Covid-19 has led to a dip in consumption or it is the rise in prices of day-to-day essentials such as oil, pulses, tea, detergent and soaps that have resulted in lower spends.

“Consumers who used to earlier purchase five-litre jars of oil are buying one-litre packs. In detergents and soaps, they are either buying smaller packs or opting for cheaper brands,” says Reddy.

Covid 2.0 has not just consumed livelihoods, but an enormously high number of lives as well. This has dampened the urge to spend and consume, but as life begins to return to normal, the rise in grocery prices is hurting consumers. Commodity prices have been at all-time highs, making grocery products costlier by over 20 per cent.

Denne historien er fra July 11, 2021-utgaven av Business Today.

Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.

Denne historien er fra July 11, 2021-utgaven av Business Today.

Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.

FLERE HISTORIER FRA BUSINESS TODAYSe alt
"Focus on the challenge of each customer"
Business Today India

"Focus on the challenge of each customer"

SHASHANK KUMAR MD & CO-FOUNDER I RAZORPAY Razorpay is India's first full-stack financial solutions company

time-read
1 min  |
December 08, 2024
PEDAL ON THE FUTURE
Business Today India

PEDAL ON THE FUTURE

THE MG WINDSOR EV, WITH ITS FUTURISTIC AND MINIMALIST DESIGN, COMBINES THE BEST OF BOTH WORLDS-COMFORT AND TECHNOLOGY

time-read
1 min  |
December 08, 2024
BREATHE EASY
Business Today India

BREATHE EASY

Whether you're battling allergies, looking to remove pollutants, or simply want to breathe easier, the right air purifier can make a difference

time-read
2 mins  |
December 08, 2024
The Taste of India in a Glass
Business Today India

The Taste of India in a Glass

FROM ROYAL LIQUEURS TO DISTILLED MAHUA, INDIAN HERITAGE ALCOHOLIC BEVERAGES ARE HAVING THEIR DAY IN THE SUN

time-read
4 mins  |
December 08, 2024
LOOK BEFORE YOU LEAP
Business Today India

LOOK BEFORE YOU LEAP

IN 2025, INVESTORS WILL NEED TO FACTOR IN VOLATILITY ACROSS ASSET CLASSES

time-read
5 mins  |
December 08, 2024
MISSING ADVISORS
Business Today India

MISSING ADVISORS

INDIA HAS JUST ONE INVESTMENT ADVISOR FOR NEARLY EVERY 200,000 INVESTORS. AT A TIME WHEN RETAIL PARTICIPATION IN THE STOCK MARKETS IS BOOMING, THIS ASSUMES SIGNIFICANCE

time-read
7 mins  |
December 08, 2024
TURNING A CORNER
Business Today India

TURNING A CORNER

SHARED ELECTRIC MOBILITY START-UP YULU'S SHIFT TO SERVICING THE QUICK COMMERCE SECTOR IS HELPING IT GROW FAST. IT IS NOW FOCUSSING ON IMPROVING ROAD SAFETY FEATURES AS IT TURNS EBITDA POSITIVE

time-read
5 mins  |
December 08, 2024
REALITY CHECK
Business Today India

REALITY CHECK

INDIAN STOCK MARKETS PLUNGED BEGINNING OCTOBER FOR A HOST OF REASONS, INCLUDING A FALL IN FII OWNERSHIP. HOW DEEP WILL THE CORRECTION BE?

time-read
6 mins  |
December 08, 2024
TRUMP'S TRADE TANGO
Business Today India

TRUMP'S TRADE TANGO

The return of Donald Trump as the 47th President of the US has put the global economy on edge. India, too, is unlikely to remain unaffected. How will policymakers meet this latest challenge?

time-read
9 mins  |
December 08, 2024
"The essence of the Trump administration will be transactional”
Business Today India

"The essence of the Trump administration will be transactional”

Global investor, analyst, and best-selling author Ruchir Sharma decodes why Donald Trump won the elections, what India should do, the risks, and more

time-read
10 mins  |
December 08, 2024