As if the pandemic year hasn't already delivered us plenty of trouble, several major companies that sell common household items are announcing price hikes. The measures are being introduced as the increased shipping costs and raw material shortages begin to bite. Procter & Gamble is probably the biggest conglomerate that has announced that it will need to raise prices on some of its most popular products starting from September. It's not the only one, however, and consumers should take note of prices of these common products – they are about to increase.
- Find more about all things money in our Finance section
1. Toilet paper
What we know so far is that the affected brands are likely to include Charmin by P&G and Scott toilet paper owned by Kimberly-Clark. Like P&G, Kimberly-Clark has confirmed price increases 'in the mid-to-high single digits', effective from late June. P&G also confirmed in a statement that its price increases will too be i 'in the range of mid-to-high single digit percentages.' The reason for the increases is partly the wood pulp shortage that is a knock-on effect from the global shortage of timber.
Baby products will also go up in price, with brands likely to include Pampers and Huggies. Diapers have already gone up in price over eight percent since the pandemic, but are set to become even more expensive following an unprecedented congestion in ports, with ships forced to wait many extra weeks before being able to unload products.
- Find the best nursery storage in our buyer's guide
3. Feminine care products
At a time when some countries are making feminine hygiene products such as pads and tampons free, they are about to get more expensive in North America. The most famous brands to be affected are Tampax and Always. Adult incontinence products will also be affected.
Coca-Cola CEO James Quincey commented on the price hikes of Coca-Cola products that 'We intend to manage those intelligently, thinking through the way we use package sizes and really optimize the price points for consumers.' We're not sure what that means, and Coca-Cola have not confirmed which of its products will be affected. The company also owns Sprite, Fanta, and juice brands Minute Maid, Simply, and Innocent.
Actually, the price of coffee already went up in March, but further price hikes are predicted. Shipping container shortage and rising shipping costs are factors, but so is the increasing demand for coffee in North America (the demand for the best coffee machines is also high). Coffee consumption has gone 40 percent during the pandemic, and this is putting pressure on an already tight supply of coffee beans. As Brazil enters winter season, producers are anxious that hard frosts may kill off coffee crops. This will drive up prices even further, but we don't yet know by how much.