Beer, Bottled Water Prices Likely to Rise in India Amid Middle East Tensions

The ongoing tensions between the US, Israel, and Iran may soon impact Indian markets. Prices of beer and bottled water are likely to increase in the coming days.

Even though India is not directly affected, rising oil and gas prices have created a shortage of packaging materials.

• Glass bottle prices likely to increase by around 20%
• Prices of cans, cartons, and other packaging have nearly doubled
• Aluminum supply is hit due to tensions near the Strait of Hormuz

This is a big concern as summer is the peak season for beer and water demand.

Due to fuel shortages, factories are struggling to run furnaces. Many glass and plastic bottle units have reduced or stopped production. In Firozabad (UP), glass production has dropped by nearly 40%.

This may increase prices of not just beer, but also juice, ketchup, and other bottled products.

Beer companies want to raise prices by 12–15%, but strict government rules are slowing this down. Price hikes need approval from state governments.

If some states don’t allow price increases, supply issues may arise.

This crisis is also affecting India’s $5 billion bottled water market, where some companies have already increased prices by up to 11%.

Earlier, food prices had already increased due to LPG shortage and rising fuel costs. Many people have also lost their jobs related to this industry.