Prospects brighten for FMCG in Q4

Consumer goods sales may rise as note ban effect wears off and Budget gives boost to rural India

The third quarter (Q3) of the current financial year could be the last of the worst for consumer firms as the demonetisation effect slowly wears off and the just-announced Budget gives a push to the rural economy. 

Fast-moving consumer goods (FMCG) firms had already indicated, while announcing their Q3 numbers, that the sales situation after currency ban had improved in the past few months. “January was better than December and December was better than November,” Sanjiv Mehta, managing director (MD) & chief executive officer, Hindustan Unilever, had said, while announcing the company’s results.

Godrej Group Chairman Adi Godrej said, “The