Water absorbent material and pulp, the main substances needed for diaper and sanitary napkins, increased by 50% in the past year, according to statistics. Mr. Zhang said that the price increase was part of the company's strategy, previously announced to boost global prices by up to 16% in the middle of July.
Based on an earlier announcement, retailers would pay P&G 2-16% more for fabric, home and hair care, bar soaps, and health and shaving products from September, P&G spokesman Paul Fox said previously.
Mr. Zhang said that the company has not seen a decline in sales so far and did not rule out further increases in product prices. He said that the company would keep a close watch on changes in the prices of petroleum derivatives and domestic materials, and adjust product prices accordingly.