Commodity Outlook: Nestle India expects input prices to be bullish, fresh milk prices to remain firm, packaging materials to continue rising amid supply constraints

17 Feb 2022 , 01:06 PM

While announcing its financial performance for December 2021 quarter, Nestle India also announced a commodity outlook for the short to medium term.

Nestle said “price outlook for key categories like edible oils, coffee, wheat, fuel remains firm to bullish while costs of packaging materials continue to increase amid supply constraints, rising fuel and transportation costs. “

“Input prices are expected to be on bullish trend both globally and to some extent locally. Fresh milk prices are expected to remain firm with the continued increase in demand and rise in feed costs to farmers,” Nestle added.

Further, Nestle stated that in an environment of raw and packaging material inflation, “we continue to keenly look for opportunities for cost optimization and efficiencies.”

In Q4 CY21, Nestle posted a net profit of Rs386.6 crore in the quarter under review down by 20% yoy, while revenue jumped 8.9% yoy to Rs3,739.3cr in Q4 of 2021.