• Raw material inflation: Polymer raw material costs have surged by up to 100% since before the conflict, creating acute pricing pressure that is most pronounced in Asia and China before Europe and the US.
• Inventory and budgeting: EPL has shortened procurement cycles to weekly schedules, reduced inventory holdings from 3 months to 2.5 months, and shifted from annual to quarterly budgeting due to market volatility.
• Supply chain de-risking: The company has validated a third supplier for each chemical raw material across Singapore, India, the US, and Europe to ensure no more than one vendor per material is located in West Asia.
• Recyclable packaging mix: Recyclable tubes currently account for 40% of EPL's tube output, though scaling post-consumer recycled content remains restricted by collection ecosystem challenges in India compared to Europe.