Page 35 - Fmcg

FMCG industry likely to grow by over 15% in 2-3 years

The fast moving consumer goods industry, that witnessed a slowdown for the past three years, has a potential to grow by more than 15 per cent over the next 2-3 years if players in the sector focus on improving brand penetration, a recent study revealed. "India is at the cusp of the FMCG S-curve and there is significant room to grow over the next 5-10 years. A nominal GDP growth rate of roughly 12 per cent over the next three years could signal an FMCG growth by over 15 per cent, depending on player action," the CII-Bain & Company said. The industry's growth rate compared to GDP has fallen to 0.8 from a historical ratio of 1.2, it said. "This slowdown is perplexing; it cannot be fully explained either by changes in consumer spending power-which have only marginally decelerated in growth or any significant shifts to non-FMCG categories, including the rise of e-tailing," the report said. During the slowdown, FMCG companies scaled back growth-oriented investments and shifted focus

Costly summer: You'll have to shell out more for snacks, ice-creams, soaps

Rising input costs cited as the reason by major household names like Britannia and Amul

Prospects brighten for FMCG in Q4

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

FMCG players expect growth to return in FY18: GCPL

Last week, GCPL had reported 4.34% fall in third quarter consolidated profit to Rs 351.78 crore

FMCG expects demand recovery in FY18

Poor volume growth in the sector has been a major roadblock for most consumer goods company

FMCG looks beyond 'temporary blip', keeps faith in GST

Organised players believe demonetisation, GST will stand them in good stead vis-a-vis unorganised players

National FMCG brands prefer M&A route to south

Examples in 2015 were Hindustan Unilever, Godrej Agrovet and Future Consumer Enterprises

FMCG sales growth declines further in September quarter

FMCG sales volume growth declined nearly 75% from 7% during the same period a year ago

Future Group forays into cash and carry with UK's Booker Group

The company, with a stated goal of Rs 1 lakh crore in annual turnover by 2021, made this announcement in a BSE filing

FMCG firms brace for retailer backlash

E-commerce majors & airline operators rejoice

FMCG companies feel slowdown heat

September quarter results till now of consumer goods companies show most faced a tough time in the period

Indian FMCG firms outpace MNCs in growth, revenue: Study

Highest profit after tax margin is maintained at 25.48% by ITC during 2015-16

Marico, Colgate see low volume growth; Nestle sales surge on lower base

Marico's volume sales grew 3.4% (in India); Colgate-Palmolive posted 4% growth

FMCG: Focus shifts to rural India

In the past four quarters, for instance, volume and value growth have fallen from 7.2 per cent and 9.7 per cent, respectively, to 3.2 per cent and 4.4 per cent, according to Nielsen data

India's FMCG sector to reach $104 bn by 2020: Study

FMCG is the fourth largest sector in the Indian economy and provides employment to around three million people

FMCG firms focus on branded outlets to connect with buyers

Nestle, Amul and CG Corp have decided to focus on the channel

Will FMCG sector's fortunes revive?

While most research houses believe improvement in rural demand augurs well, a few leading names such as Morgan Stanley have recently turned cautious

Modern wholesale 2.6% of total FMCG market: Nielsen

Modern wholesale trade in packaged consumer goods in India is pegged at Rs 6,800 crore in 2015, according to a study by Nielsen. It remains at 2.6 per cent of the total Rs 2,61,500-crore packaged consumer goods market in India. The trade format is yet to attract retailers in the country as only three per cent of retail manufacturers leverage the wholesale channel, the study found. The top 10 manufacturers account for 60 per cent of the total value of sales. In contrast, the top 10 manufacturers account only for 38 per cent of the total retail sales. During the first half of 2016, the channel posted 13 per cent value growth and reported Rs 3,770 crore in sales compared to same period last year. Soft drinks dominate the channel in terms of value with 12 per cent share. Non-food categories such as toilet soaps (nine per cent) and washing powder (eight per cent) currently hold the second and third spots, respectively. "This shows different dynamics than traditional retail, where soft drink

Analysts hope volume growth will ring in FMCG gains

Of the nine large FMCG companies in the sample study, two companies have witnessed a lower volume growth number as compared to the past three to four quarters

FMCG sales growth slows to 3.2% in Apr-Jun

Urban spending muted, rural sales grow on low base: Nielsen