HUL, Nestle hike prices and shrink packs amid U.S.-Iran conflict
FMCG giants like HUL and Nestle are feeling the pinch from the U.S.-Iran conflict that kicked off in February 2026.
To cope with rising costs, they're bumping up prices (HUL by 2% to 5%) and making products smaller, but sales volumes are still holding up.
Nestle has managed a 3.5% boost in organic sales by tweaking prices while also pushing for more volume.
Inflation and oil rises squeeze FMCG
With inflation climbing (India's retail inflation hit 3.4% in March), shoppers are grabbing smaller packs or switching to store brands to stretch their budgets.
Some companies, like AWL Agribusiness, have already raised edible oil prices by 10%, and Procter & Gamble expects a $1 billion profit hit next year just from pricier oil.
Analysts warn that firms with big Middle East ties, such as Dabur, could face even more bumps ahead as global uncertainty continues to shake things up for everyone from brands to buyers.