Indian Electronics Firms Hike Prices Amid Rising Raw Material Costs

Major consumer electronics and home appliance manufacturers in India are preparing to hike prices on air conditioners, LED TVs, washing machines, and refrigerators by 5 to 8 percent starting October 1. The price adjustment aims to pass on the rising costs of key raw materials, including copper, steel, and crude oil derivatives, alongside currency volatility.

The industry's third price revision in 2023 comes as a result of sustained inflation across critical inputs like copper, aluminum, steel, and crude, combined with climbing freight charges. Air-conditioner prices are projected to rise by 5 to 8 percent, while several brands are increasing rates for washing machines, refrigerators, and LED TVs by 3 to 4 percent.

Some manufacturers worry that the price adjustments could dampen festive shopping, but others point out that the immediate impact on consumers might be cushioned. Many distributors and dealers built up stock at older price points through promotional pre-buying schemes throughout August and September.