Glass bottle prices have surged approximately 20 percent, while paper carton rates have doubled; labels, adhesive tape, and other packaging materials have also seen significant increases.
Disruptions to shipping flows through the Strait of Hormuz and rerouting via the Cape of Good Hope are extending transit times for raw materials by approximately 10 to 14 days.
The cost of material used in making plastic bottles has risen 50 percent to 170 rupees (US$1.81) per kilogram, while cap prices have more than doubled to 0.45 rupees (US$0.0048) apiece.
The Middle East, accounting for approximately 9 percent of global aluminium supply, faces mounting pressure as conflict disrupts shipping through the Strait of Hormuz.
Aleks Lajovic, managing director of Sydney-based tube manufacturer Impact International, described the chaos as “Covid 2.0,” a return to the days when prices vanished and lead times evaporated.
Producers have activated hardship clauses, revising or ignoring existing agreements.
International Paper reported a net loss for the third quarter of 2025, primarily due to significant charges related to the closure of several U.S. mills.