Supply, material costs drive up price of beauty products

NEW YORK Amid fears of inflation, customers in the beauty-products aisle are seeing prices increase as the cost of raw materials grows.

Dow Chemical, a major supplier, announced last month that it will increase costs for raw materials by as much as 20 percent. Meanwhile, product manufacturers such as Japan’s Kao and Germany’s Henkel have announced that shelf prices would likely increase. Pantene, Procter & Gamble’s hair-care line, has already increased in price.

Most of the increases come from rising petroleum prices, but natural and organic products have not been immune. For example, French brand Florame has had to deal with supply shortages and is responding by growing some of its own ingredients.

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