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Coca-Cola raises Diet Coke prices in India amid Iran shipping disruption

The report links the increase to renewed disruptions around the Strait of Hormuz, a key route for aluminium can supplies to India.

Reported · Written up by our desk · Trade & Tariffs

The US-Israeli conflict involving Iran is continuing to ripple through global supply chains and consumer prices, with Coca-Cola raising Diet Coke prices in India, according to SCMP Economy citing Reuters.

The outlet reports that earlier fighting related pressures contributed to a Diet Coke shortage in India by squeezing supplies of aluminium cans, which the drink is sold in predominantly in the country.

Now, as the Strait of Hormuz has virtually closed again and commercial traffic has been heavily disrupted after the collapse of an interim truce, there are fears the disruption could spread to other sea routes used to move cans and related raw materials.

SCMP Economy says the price hike illustrates how the conflict is forcing multinational companies to alter logistics and can increase prices in major consumer markets.

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