Page 2 - Fmcgs

Q2 results preview: Destocking prior to GST 2.0 may impact FMCG sales

FMCG companies face muted sales in July-September as distributors slow purchases ahead of GST-driven MRP cuts, with Hindustan Unilever citing a short-term impact

Allana Group targets two-fold growth in 4-5 years, eyes $4 bn revenue

Allana Group, which is in manufacturing and exports of various consumer goods and processed food products, aims to double its business to nearly USD 4 billion, driven by its food processing and some new growth engines as its protein business, among others, a company official said. Allana Group, a family-owned business, which has presence in segments as coffee, poultry, fruits & vegetables, consumer goods, frozen foods, animal nutrition & pet foods, among others, has plans to enter into the domestic b2c markets in some of these segments. "After focusing on exports around the world, we are also looking to build our business in our country. We are very excited about the GST (goods and services tax) reforms. Our businesses like ice cream, pet food businesses, they have completely benefited from this," Allana Group CEO (Processed Food Division) Manish Muley told PTI. Allana group, which is present in the premium ice cream category in India with brand 'London Dairy', has already ...

Experts flag tax credit blockage for FMCG distributors despite GST relief

The industry may push for a new refund mechanism, but this would be difficult for the government to allow, given the high risk of misuse

Tata Consumer signs MoU with govt, to invest ₹2K cr in food processing

FMCG major Tata Consumer Products Ltd (TCPL) has plans to invest Rs 2,000 crore in the food processing industry in the next five years. It has signed a non-binding MoU with the government during the ongoing World Food India event here for the investment, the Tata group FMCG arm said in a regulatory filing, without disclosing any further details. "As part of Investment Promotion Activity for World Food India 2025, the Company has, today, signed a non-binding MoU with the Ministry of Food Processing Industries, Government of India, for an investment of up to Rs 2,000 crore over a period of 5 years," it said. However, TCPL also added that the proposed investment is "subject to financial evaluation of the individual projects and obtaining relevant corporate and statutory approvals" by the company. Hence, the details provided may vary, TCPL said. "Once the terms and conditions for investment are finalised, the company would make appropriate disclosures, if necessary," it said. TCPL ..

HUL expects near-flat Q2FY26 growth as GST rate cuts likely to hit sales

Leading FMCG major HUL on Friday said that while reduced GST rates will support long-term consumption, short-term order postponement due to anticipation of lower tax led to "near flat to low-single digit" business growth in the September quarter. HUL, which owns popular brands like Lux, Rin, Surf Excel, and Ponds, has witnessed a transitory impact "in the form of disruption at distributors and retailers" across channels to clear existing inventories at old prices. "This has resulted in postponement of ordering in anticipation of receiving new stocks with updated prices and lower orders across the overall portfolio as consumers delayed their pantry buying," said HUL in a regulatory filing. This disruption resulted in a short-term impact on sales for the company in the September quarter. "Given our existing pipeline inventory in the channels, we expect this impact to continue into October as well," he said. Though these reforms are expected to increase disposable income and drive ..

Durga Puja 2025: Corporate sponsorship up across West Bengal's 45K pandals

Corporate sponsorship for Durga Puja is buoyant in Kolkata with brands returning strongly, though retail sales show mixed trends across malls, shopping hubs and markets

Mom-and-pop stores play the MRP waiting game as new GST rates kick in

ecommerce companies complete technical preparations for the simplified GST structure

40% GST slab: Cess backlog hits cigarette, aerated drink distributors

Distributors of aerated drinks and cigarettes told the Finance Ministry that cess accumulation under the new 40 per cent GST regime is blocking working capital and hitting liquidity

Govt eases GST price label rules, scraps mandatory advertisements

Businesses can skip re-stickering and use old stock until March 2026

FMCG companies can drive growth by leveraging brand equity: Report

Worldpanel by Numerator says FMCG firms must leverage brand equity to expand into high-growth categories and win new consumers

FMCG firms may shift to new GST regime without changing current price tag

The govt could allow discounts to be reflected in the invoice during the transition

FMCG retailers bag big discounts ahead of GST rate shift on September 22

FMCG majors offer 4-20% discount on a range of products, these discounts are valid until September 21

Parag Milk zooms 40% so far in September, hits 7-yr high on healthy outlook

Shares of Parag Milk Foods surged 14% to ₹316.50 on the back of heavy volumes, and are quoting at the highest level since September 2018.

Finance ministry, consumer affairs department review MRP circular

Businesses say they may find it difficult to reduce prices to the full extent of GST reduction because they may have paid higher input taxes on stocks lying with them. For that they won't be refunded.

Govt asks firms to share revised prices after GST reductions for consumers

The said list will be displayed on the official GST website, thereby helping consumers to see the relief they can expect as the next generation GST reforms are set to kick in on September 22

Govt clears MRP fixes for unsold FMCG inventory after GST rate change

Allows price revisions until December 31

Indian FMCG firms, including Dabur, ITC, monitoring developments in Nepal

Indian FMCG companies, which have substantial investments and presence in Nepal, are closely watching the political development in the Himalayan country. Leading Indian FMCG companies, including Dabur, Britannia, Marico, Patanjali, ITC, and Reliance Consumer have a significant presence in Nepal. Most of them operate through their local distributors or partnerships. Some of the FMCG companies as Dabur, ITC (through Surya Nepal), Britannia, etc, have their manufacturing operations in Nepal. Companies as Reliance Consumer have a partnership with Chaudhary Group for local manufacturing and distribution. Chaudhary Group (CG), Nepal's largest multinational conglomerate, has recently also entered into a formal joint venture agreement with the Indian food company Bikaji Foods also. An industry executive, without disclosing his identity, said the Indian FMCG companies are closely watching the developments in Nepal. They have advised their employees to remain cautious and safe amid the ...

Consumption funds: Rising volumes, margins may lift thematic offerings

But geopolitical risks could weigh on overall equity markets, including consumption segment

Consumers to see reduced prices of FMCG products by next month: Godrej MD

Consumers will start getting FMCG products at reduced prices only by early or mid-next month, as goods take time to reach markets with the new MRPs, Godrej Consumer Managing Director and CEO Sudhir Sitapati has said. The reduction of tariff to 5 per cent has also created "some short-term disruptions", as the industry operates on an MRP regime, and dealers and companies are sitting on stocks with high MRPs, he added. "The FMCG sector operates on an MRP regime, and stocks that dealers and companies are sitting on today are at higher MRPs. Simply passing on money to trade does not guarantee that it reaches consumers directly. It will take a little time before new MRPs flow into the market," he said. "By early or mid-next month, consumers will start seeing reduced prices on FMCG products," he pointed out. The all-powerful GST Council last week decided to reduce taxes on most of the common-use goods as part of the government's measure to boost consumer spending, including hair oil, soap

No GST cut for detergents, cosmetics surprises FMCG firms: Analysts

Keeping detergents and cosmetics under 18 per cent tax rate with zero savings on these daily-use items for households under the government's sweeping GST restructuring move is surprising, say industry players and analysts. The all-powerful GST Council last week decided to reduce taxes on most of the common-use goods as part of the government's measure to boost consumer spending. The new structure of goods and services tax (GST), which comes into effect on September 22, will have two slabs of 5 per cent and 18 per cent instead of the current four slabs of 5, 12, 18 and 28 per cent. Fast-moving consumer goods (FMCG) products such as hair oil, soap, face powders, shampoos, toothbrushes, and toothpaste have come under the lower slab of 5 per cent from 18 per cent. However along with detergents and cosmetics, duty on several items such as hair dye and household insecticides has not been reduced. FMCG companies say they are ready to pass on the benefits of the duty cuts to consumers, ev