Soaring cost of plastic squeezing bottlers’ profits

Plastic waste. With prices up by 35 per cent, soda and water bottlers have resorted to using a cheaper version of the material. Photo/FILE

As many Kenyan firms race against the escalating commodity prices and currency fluctuations, lack of hedging options for certain raw material commodities in the futures markets has left the profit margins of heavy plastic consumers exposed.

Locally, beverage and water bottling companies are battling rising packaging costs as they continue to push sales in a market that is faced with rising inflation.

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