Rising raw material and logistics costs are driving price increases for wheat flour in India. Companies like AWL Agri Business, which sells Fortune-branded wheat flour, have implemented price hikes amid cautious trade sentiment. The upward price momentum is likely to continue due to persistent inflation in crude, packaging, and transport costs.
Instant noodles are dried or precooked noodle products consumed widely as a quick, affordable meal across Asia Pacific, North America, Europe, Latin America, and Africa, produced through dehydration using wheat flour, palm oil, seasoning, and salt. South Korean ramyeon exports, the category's most closely watched segment, have been on a multi-year growth run extending into 2026.
Through H1 2026, pricing sentiment stayed firm, supported by continued wheat and palm oil cost pressure, though the tariff backdrop for Korean exporters actually improved rather than worsened: the US tariff on South Korean goods was cut from 25% to 10% in February 2026 after the Supreme Court struck down the prior IEEPA tariffs, easing a cost headwind that had squeezed exporter margins through 2025. This relief, combined with continued K-food demand momentum, supported record ramyeon export volumes. In China and Southeast Asia, domestic producers faced comparatively softer wheat costs, while currency and logistics pressures partly offset those gains.
Analyst Insight
According to Procurement Resource, prices should keep firming on input costs, with the tariff cut easing exporter margin pressure.
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The fourth quarter of 2025 saw instant noodles maintain their position as an affordable food option amid continuing cost-of-living pressures globally. While the product category remained budget friendly compared to other meal alternatives, manufacturers faced mounting pressure from rising ingredient costs, particularly wheat and cooking oil, which created challenges for maintaining traditional low price points.
Korean producers continued dominating premium segments of the market, with their products commanding higher prices due to strong brand recognition and viral social media presence. These specialty varieties appealed to consumers willing to pay more for trendy, flavourful options that felt like small luxuries during economically difficult times. Meanwhile, basic instant noodle varieties maintained stable pricing as retailers used them as traffic drivers to attract cost-conscious shoppers.
Japanese restaurants and food chains accelerated their shift toward promoting noodle-based dishes as rice prices remained elevated, creating increased competition in the broader noodle market. Supermarkets actively pushed pasta and alternative grain products alongside instant noodles, recognizing consumer demand for affordable meal solutions. Convenience stores expanded their instant noodle selections and introduced more barley-based options to capture budget-conscious buyers seeking rice substitutes.
Instant Noodles are dried or precooked noodles that are often sold with sachets of flavouring including seasoning oil. Dried noodles are generally eaten after being cooked or soaked in boiling water, while precooked or instant noodles can be reheated or eaten straight from the packet.
Noodle soup, Noodle
Instant ramen
Nestlé SA, Ajinomoto Co., Inc, Unilever, Capital Foods Pvt. Ltd, ITC Limited
CurrencyUS$ (Data can also be provided in local currency)
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To produce Instant Noodles, all the ingredients are first mixed in the dough, then it is rolled out, cut into noodles, steamed, dried, fried for a minute or two for dehydration, cooled, and then finally packed into the individual units.
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This report provides the cost structure of instant noodles from dehydration process. A dough is formed using flour, salt, palm oil. After giving proper time to dough to mature, it is rolled out and pressed evenly into spreads.
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