Michael Cardinal, FISM News
One of the largest manufacturers of household items announced on Tuesday that they were being forced to raise prices for the second time this year due to inflation.
Procter and Gamble said that it can no longer absorb the rising costs of supplies and transportation and would be raising prices on some some of their beauty, oral, and grooming products including razors and make-up products. The move is an attempt to try to help their bottom line as P&G officials said the companies costs had grown significantly faster than they anticipated. They reported that in July the company had projected that they would incur $1.9 billion in costs this fiscal year, and that figure has already jumped to $2.1 billion.
This is the second time this year that P&G announced an inflation-based consumer increase in prices. Earlier this year they raised the prices on paper-based items such as diapers and paper-towels.
P&G’s current increase will raise prices on the targeted items by 10%. The New York Post reported that the real-cost of inflation currently sits at an additional $175 a month for the typical American household.
FISM President and CEO Dan Celia discussed how the inflation that we are currently seeing through companies like Procter and Gamble is only the tip of the iceberg, as further inflation is on the horizon: