This summer, pay more for larger cans of Coke and Pepsi

• Coca Cola and Pepsico which accounts for 80% of the market are all set to raise prices of the fizzy drinks.
  
  
• The giants hike prices of PET and cans which accounts for 60% of market intake.

This summer, the prices of Colas will burn your pocket as both the cola giants are raising prices after six years.

PepsiCo and Coca-cola, which own almost 80% of the soda market in India are likely to raise prices by 6-14%, according to a Business Standard report.

However, even after the tax hike in July 2017, the fizzy drink giants kept the prices intact for the last six years.

“We continue to observe market dynamics and consumer preferences, depending on the insights, we take decisions on our pricing strategy,” a PepsiCo India spokesperson told Business Standard.

The giants shifted the consumer base according to the needs of the customer and have been pushing more fruit-based beverages without losing focus on its still popular core soda business.

The aerated soft drinks have seen faster growth in India and have been riding on prices that are almost a third that of fruit juices. A tetra pack of any branded juice weighing 1 litre is priced at about ₹110, while a two-litre pack of any carbonated drink is priced about ₹70 as of now.

Here is how much more you would pay for the fizzy drinks after price hike:


The new price hike will target the larger part of the giants’ portfolio as polyethylene terephthalate (PET), and cans account for almost 60% of the industry’s volume intake.

The companies also saw a marginal increase in raw material like sugar and other products, which could be a reason behind this price change.

However, their decision to not to hike prices after 2017 higher taxation order by the government impacted Coca-cola's revenue, as it reported a net loss of ₹118 crore in the same financial year.