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FMCG industry to grow 12-13% in Q4 FY19
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FMCG industry to grow 12-13% in Q4 FY19

Nearly 80% of the value growth clocked by FMCG industry in the Q3 quarter was volume driven (13.4%).Rural markets continued to grow faster (20%) in the quarter; urban India also had a good run with 14.5% value growth.

There are two big themes emerging in terms of sources of growth – one of them has been the fast sales upsurge in modern trade (MT) channels in India and the other one has been the rise of the small “Goliaths”essentially the small and regional players at the other end of the spectrum.

FMCG INDUSTRY TRENDS – A FUTURE PERSPECTIVE

Looking at the overall macro-economic headwinds and tailwinds, Nielsen forecasts the industry growth in Q4 to be 12-13%.

Headwinds for the Indian FMCG industry –

1) Exchange Rate / Crude Oil

2) Rainfall

3) Kerala Floods

4) Plastic Ban

Tailwinds for the Indian FMCG industry –

1) GDP Boost

2) Inflation in Control

3) Rural Growth Impetus

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FMCG industry to grow 12-13% in Q4 FY19

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