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FMCG companies' Q3 volume growth may be slowest in ten quarters

Delayed winter, disruption in traditional trade channel, weak rural demand led to low product offtake

Shreepad S Aute  |  Mumbai 

Fast-moving consumer goods (FMCG) companies, which posted a subdued volume performance in the July-September period, may end up with an even worse showing in the December 2019 quarter (Q3). Average volume growth of eight major listed companies is estimated to come at a 10-quarter low in Q3.

These worries also reflect in the recent underperformance by the Nifty FMCG index. The index, which until recently was enjoying investors’ support despite pricey stock valuations, has shed about 4 per cent since the start of Q3, as against a 5 per cent rise in the Nifty50. Even though part of ...

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First Published: Tue, January 07 2020. 23:04 IST
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