Britannia, ITC to hike product prices on account of rising wheat price

Lower wheat production and increased government procurement have led to the price rise.

Sharp short-term rise in wheat prices is burdening manufacturers of products like atta and biscuits, who, in turn, pass on the increased cost to the customer. Britannia is considering price hike while ITC, another big procurer of wheat, is also mulling similar move in Aashirvaad Atta and its variants. Smaller manufacturers of wheat and other products like bread etc may also be forced to pass on the increased burden. 

The prices rose due to lower acreage and crop damage in some areas. Also, the government procurement has been higher than estimated. Last year, government agencies procured 29.5 million tons. This