Bottled Water to Get Costlier This Summer: Key Reasons Behind the Price Hike in India

Just as the summer heat is picking up, get ready for a pinch in your pocket. The price of bottled drinking water is set to go up. Manufacturing costs have shot up, and smaller companies have already started increasing their rates.

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The price hike has already started

The Packaged Drinking Water Manufacturers Association of India says about 2,000 small companies have already hiked prices by around Re 1 per bottle. This is a nearly 5% increase. Right now, you pay less than Rs. 20 for a 1-litre bottle, but that's set to change soon.

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Main reasons for the price increase

International events are the main reason for this price hike. The war in Iran has pushed up crude oil prices, disrupted supply chains, and created a shortage of packaging materials. Everything from plastic bottles and caps to labels and cardboard boxes has become more expensive.

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Polymer prices have increased heavily

Polymer is the key ingredient used to make plastic bottles. Its price has jumped by 50% to Rs. 170 per kg. Even the cost of a bottle cap has doubled to ₹0.45. These factors are massively increasing the overall manufacturing cost.

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Impact on the premium water market too

It's not just regular bottled water; the premium water market is also feeling the heat. Some companies have raised their prices by up to 18%. This market is worth about $400 million and has been growing rapidly. For now, many brands are absorbing the extra cost themselves to keep their customers.

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Future impact on consumers

While bigger companies are trying to hold off on price hikes, retail prices will likely go up soon. Experts predict another increase of up to 10%. The impact will be felt more during summer when demand is high. They say you might see this change in the next 4–5 days.