THE WHAT? Japanese consumer goods companies are increasing prices for essential products including diapers, sanitary products, detergents and skincare as rising naphtha costs drive up raw material expenses.
THE DETAILS Kao Corp. plans to gradually raise prices on products including Attack laundry detergent and Biore skincare from July, followed by price increases for Laurier sanitary products and other items from September. Daio Paper will increase prices by at least 15% on products including Goo.n diapers and Elis sanitary products from August, while Unicharm will also raise prices on diapers and sanitary items from July. The increases are linked to rising costs for naphtha-derived materials such as non-woven fabrics, surfactants and superabsorbent polymers, with supply disruptions tied to instability in the Middle East. Calbee is also introducing “petroleum-saving packaging” for selected snack products as printing ink shortages linked to naphtha supplies affect packaging production.
THE WHY? The developments highlight how geopolitical tensions and rising petrochemical costs are placing pressure on consumer goods supply chains, forcing manufacturers to pass higher production and packaging costs on to consumers while seeking ways to preserve supply stability.
Source: Asia News Network
