Colgate’s premium push gives its tube suppliers a new squeeze

After a sluggish first half, India’s FMCG market is showing clear signs of recovery, propelled by aggressive brand investment and improving urban demand. Colgate-Palmolive India, the country’s dominant oral-care player, posted a strong rebound in the fourth quarter of fiscal year 2026, with revenue rising 9% year-on-year to INR 1,583 crore. Despite the sharp Q4 acceleration, full-year attributable net profit for FY26 declined 1.8% to INR 1,325 crore, primarily due to one-off factors like the GST-related inverted duty structure impact and a high base from exceptional tax-refund interest income in the prior year. The second half of FY26, however, showed a decisive recovery, with net sales growing 5.2%.

The company strategy is delivering results: sales contribution from premium products has jumped 35% over the last two years, a growth rate six times faster than the overall toothpaste category, supported by stepped-up investments behind premium brands such as Colgate Total and Visible White.

Furthermore, the growth in premium lines is accelerated by digital channels, with e-commerce and quick commerce now contributing about 10% of overall business and being described as "growth accretive, margin accretive, share accretive and premiumisation accretive".1

This shift to premium products by a major player like Colgate, whose products are also manufactured using packaging designed to dispense more paste per brush, has profound implications for its suppliers. EPL (formerly Essel Propack), one of the world’s largest specialty packaging companies and a major supplier to Colgate-Palmolive, operating its largest tube-making plant globally in Nalagarh, has already embarked on a strategic pivot.

EPL has been actively diversifying its portfolio away from traditional, steady-growth oral care. By FY26, the company’s "Personal Care and Beyond" segment—which includes beauty, cosmetics, and pharmaceuticals—grew to 53% of its total portfolio, reducing its dependency on its oral care origins.4

The drive for premiumisation demands packaging that looks and feels more sophisticated than standard tubes. To this end, EPL commercialised its NeoSeam technology, which eliminates the visible side seam, allowing for seamless, 360-degree uninterrupted artwork. This innovation gives laminated tubes the premium aesthetic of extruded tubes while retaining the cost-effectiveness and sustainability advantages of laminate formats.

Sustainability is the other non-negotiable factor. EPL is rapidly increasing the share of fully recyclable tubes, with its mono-material HDPE Platina and Platina Pro ranges designed to meet the stringent requirements of the global oral care sector. As of FY26, 38% of EPL's portfolio consists of recyclable tubes. However, the push for premium aesthetics remains a challenge; metallised cartons often used for lamitubes are cited by experts as an obstacle to optimal recycling. 

Ultimately, Colgate's strategic bet on the premium consumer, supported by sophisticated packaging and digital distribution, is now setting the agenda for India's consumer packaging industry.