Indian companies are facing significant pressure from rising input costs, prompting them to increase prices and reduce the sizes of products. The Reserve Bank of India has revised its inflation forecast upwards, highlighting concerns over a weak monsoon and potential El Niño effects. Global disruptions, particularly from the ongoing US-Israel and Iran conflict, have exacerbated these challenges, impacting trade routes and raising costs for import-reliant economies like India. Major consumer goods firms, including Hindustan Unilever and Dabur India, have begun implementing low-to mid-single-digit price hikes while also resorting to 'shrinkflation'—reducing product sizes to maintain price points. The automotive and airline sectors are similarly adjusting prices due to increased fuel costs. LPG prices have also surged, affecting household budgets, especially for lower-income families. As companies navigate these pressures, many are cutting costs internally and seeking alternative sourcing strategies to mitigate the impact of rising expenses on consumers.