LED TVs, refrigerators, washing machines and more such appliances are expected to get a 10 percent hike in prices from January next year. This is because of a rise in costs of key raw materials including copper, aluminium and steel, and a rise in ocean and air freight charges. Apart from this, prices for TV panels have also gone up by over two-folds due to short supply, and the prices of plastic and crude oil have also risen.
According to a report by PTI, multiple manufacturers including LG, Panasonic and Thomson are going to increase prices from January. However, “Sony is still reviewing the situation and is yet to take a call on this.”
Panasonic India anticipates that the prices of all of its consumer electronics being sold in India will go up by around 7 percent in January, and by up to 11 percent towards the end of Q1 2021. LG Electronics India has also stated that the prices of its products will go up by 8 percent from January.
According to the report, Sony India, for now, will “wait and watch” before taking the call. However, it is also thinking of increasing prices.
Apart from the rise in the prices at the supply chain, there is excess demand for the products due to the current work from home situation and due to factories not running at full capacity. These are also leading to an increase in prices.
Super Plastronics believes that there is a scarcity of TV Opencell in the market, due to which the prices have almost gone up by 20 percent. Due to this Thomson and Kodak will increase their television prices by 20 percent in January.
Videotex has stated that the increase in prices will also happen due to the three-fold increase in Import Freight charges.
According to the Consumer Electronics and Appliances Manufacturers Association (CEAMA), if the brands increase the prices of products like TVs washing machines and more, they will get to see an overall decline in the next quarter. But, Godrej Appliances believes that this will be offset by some of the pent up demand for the goods surfacing now.
