3-5 per cent price hike for Indian tyres

The Indian tyre industry is gearing up for 3 per cent to 5 per cent price hike starting in December.

Tyre prices have been rising through 2003 although Indian manufacturers have varied their increases. This time the price hikes look to be unanimous and uniform according to industry commentators.

“The prices of rubber have been spiralling in the past year and is tipped to go up further in the last quarter of the fiscal. Rubber forms nearly 70 per cent of our inputs so this price increase is a direct consequence on increasing input costs. We have been holding out for some time now and the increase in prices is lagging behind the increase in input costs,” said an official at JK Tyres. “The increasing price of petroleum, which is used extensively in the manufacture of tyres, has also pushed up prices.