Enthusiasts of sweets and bakery products may have to shell out more money this Raksha Bandhan. Production costs for the sweets and bakery sector have risen due to price hikes in key raw materials, including sugar, gram flour (besan), refined flour (maida), wheat flour (atta), *desi* ghee, and dry fruits. With demand surging during the festive season, traders have begun raising the prices of various products.
Consequently, the budget for purchasing sweets and gift packs for Rakhi is expected to be higher than last year. Traders report a recent spike in raw material costs, with the rising prices of sugar and dry fruits having the most significant impact. **Greater Impact on Premium Sweets:** The cost of premium sweets has increased due to the higher prices of cashews, almonds, pistachios, and other dry fruits used in their preparation. Meanwhile, the rising costs of gram flour, sugar, and *desi* ghee have directly affected the production of traditional sweets. While traders anticipate strong market demand during Raksha Bandhan, inflation may lead customers to prioritize prices more than usual when deciding on the quantity of sweets and the budget for gift packs. Thus, this year’s Rakhi festival could bring an additional financial burden on families alongside the sweetness shared between siblings.
**Sweets Prices Up by 4–5%:** Manik Jain, Director of Shraman Jain Sweets, stated that there was no alternative but to raise prices due to the sudden surge in raw material costs. The company has increased the prices of sweets by ₹20 to ₹30, representing an average hike of around 4 to 5 percent. He noted that the cost of raw materials has risen significantly in just a short span of time. It is natural for this to impact prices during the festive season. Bakery products have also become up to 10 percent more expensive.
Amit Dang, Director of Uncle Foods, stated that the cost of raw materials used in manufacturing bakery products has risen significantly. This has affected product prices, leading to an increase of approximately 10 percent. He noted that the entire cost burden has not been passed on to customers; businesses have tried to absorb some of the cost themselves. There is hope that raw material prices will stabilize in the coming days. He added that, currently, the sharpest price hikes are being observed in sugar and dry fruits.
**Increase in prices of key raw materials**
Sugar: Increase of about ₹20 per kg
Gram flour (Besan): About ₹10 per kg
Wheat flour (Atta): About ₹4 per kg
Desi Ghee: About ₹100 per kg
Almonds: About ₹200 per kg
Cashews: About ₹125 per kg
Refined flour (Maida): About ₹10 per kg
