Regional FMCG firms see gains over larger peers for second quarter in a row

Local brands have been able to capture market share as prices of raw material are lower, making it easier for them to manufacture and sell FMCG products at lower prices

Regional and local fast-moving consumer goods (FMCG) brands are gaining momentum at the cost of national brands for the second quarter in a row. 

Consumer brands are now losing out on share, especially at the mass end of the market. Local brands have been able to capture market share as prices of raw materials are lower. This is making it easier for them to manufacture and sell FMCG products at lower prices. 

Hindustan Unilever (HUL) and ITC both pointed out after announcing their September quarter results that regional brands have gained momentum. 

According to HUL’s investor presentation, in August, the market value growth