Huggies, Baby Soft owner says SA prices will rise into 2023 as input and freight costs bite
Kimberly-Clark in South Africa, which owns nappy and toilet paper brands Huggies and Baby Soft, says price increases will continue into 2023 as pulp and sea-freight costs weigh on the business.
"We do see inflation across our categories for the remainder of this year; we are forecasting for that to continue into the early parts of next year, with pricing stabilising towards the second half of next year," Hayes told Business Insider South Africa. The category most sensitive to price hikes is its toilet paper and tissue, where the price of pulp has seen considerable increases. "For us, the heightened sensitivity on the nature of the category we make and that we offer, it really is important for us to ensure that we consistently focus on reducing any increases that we take into the marketplace, and that is a major focus for Kimberly -Clark, particularly in South Africa," Hayes said.
The consumer goods giant's costs for critical inputs such as pulp, logistics, and electricity have all seen significant increases."If you look at where logistics and sea freight have gone over the last two years, [they are] essentially four times the rate of an average cost of a container in pre-pandemic levels. And most of our raw material components are imported, as well as paid for in dollars," said Hayes.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Police on the hunt for four suspects after woman is raped multiple times at birthday party | News24Police are searching for four men after a Free State woman was gang-raped in a toilet while attending a birthday party.
Read more »
Predicted fuel price drop will have 'tremendous' impact on transport costsThe Road Freight Association says the predicted fuel price drop in September will have a tremendous positive impact on transport costs.
Read more »