Industry bats for stimulus measures such as reduction in income tax, job creation and direct incentives for rural consumers. Research firm Nielsen said in an Oct report that overall FMCG sales growth fell from 16.2% yoy in the Sept 2018 quarter to 7.3% in the Sept 2019 quarter, with rural consumption at the slowest in seven years.
The feature will enable its online customers to shop for bespoke incense sticks or agarbatti - a popular daily consumption FMCG product in the country with custom attributes such as length of the stick and fragrance.
Godrej Consumer Products Limited (GCPL) said sales volume grew marginally higher than mid single digit despite demand in the country impacted by a general consumption slowdown which continues to be challenging.
Marico, the maker of Saffola and Parachute oil, said the consumer sentiment revival stayed weak adn channel partners faced liquidity challenges. While its portfolio of Saffola oils and foods delivered healthy double-digit volume growth, coconut and other hair oils declined, which in turn led to a marginal decline in its overall India business.
In 2019, the FMCG industry witnessed slowdown in the rural sales, which was traditionally ahead of urban sales, and in the last two quarters it was half of the urban sales growth due to factors as liquidity crunch in those far flung markets and drop in gross domestic product (GDP) which had weakened household spending.
Consumer goods giants ITC, HUL, Marico, Dabur, Haldiram’s and Nestle have met distributors in India and assured them of bringing parity of price, pack size and offers between products being supplied to general trade (kirana stores) and modern sales channels, such as, large departmental store chains and e-commerce.
"I respect the authority for the order they have passed. However, it is very unfortunate that despite all the evidence that we had provided them in terms of changes in grammage, changes in prices that we had effected we received this order," company's Chairman and Managing Director Suresh Narayanan told PTI on the sidelines of the CII FMCG summit.
A three-member NCLAT bench headed by Chairperson Justice S J Mukhopadhaya extended the deadline to December 23. Earlier, on November 20, the appellate tribunal had extended the deadline till December 16 for implementation of the resolution plan for Ruchi Soya. The original deadline for implementation of the resolution plan was November 21.
The National Antiprofiteering Authority (NAA) has also directed the company to reduce prices ‘commensurately’ and mandated that the Director General Anti-Profiteering (DGAP) issues a showcause notice seeking explanation on why the penalty should not be applied. The DGAP has been directed to furnish compliance report in four months.
Japanese sanitary goods maker Unicharm that outpaced Procter & Gamble in several Asian countries in disposable diapers segment over the past decade is now within striking distance of its American rival in India, too.