New Delhi, Delhi

Consumers planning to purchase new electronic appliances during the festive season may have to pay more. Prices of several consumer electronics products, including air conditioners, LED TVs, washing machines and refrigerators, are likely to increase soon. Major companies are preparing to raise prices by around 5% to 8% due to rising input costs.

Companies say prices of copper, aluminium, steel, plastics and crude oil-linked products have increased. Higher freight costs and fluctuations in foreign exchange rates have also added to the cost pressure faced by manufacturers.

Prices Could Rise for the Third Time This Year

This could be the third round of price increases for consumer electronics companies this year. Manufacturers are considering further price hikes to offset the impact of continuously rising costs.

Air conditioner prices could increase by around 5% to 8%. Meanwhile, some companies may raise the prices of washing machines, refrigerators and LED TVs by around 3% to 4%.

However, some manufacturers are still assessing market conditions before taking a final decision on the proposed price increases.

Companies Concerned About Impact on Demand

There are differing views among companies about the potential impact of higher prices. Some manufacturers fear that more expensive products could affect consumer demand during the festive season, while others expect the impact to remain limited.

One factor that could provide temporary relief to consumers is the existing inventory with dealers and distributors. Older stock may continue to be sold at existing prices for some time, allowing customers to purchase products before the revised prices fully take effect.

Several companies, including Blue Star, Godrej Appliances, Haier, Daikin and Super Plastronics, have announced price increases across various product categories.

For consumers planning to purchase an AC, television or washing machine during the festive season, it may therefore be important to keep track of prices in the coming days. Once the revised prices take effect, customers could have to spend significantly more than before on these products.