Kolkata: The fast-moving consumer goods (FMCG) sector is expected to see revenue growth of 7-9 per cent this financial year, according to a report released by Crisil Ratings on Saturday.
The expected revenue growth in this financial year (2024-25) will be supported by higher volume growth due to revival in rural and stagnant urban demand.
The estimated growth of the FMCG sector in 2023-24 was 5-7 percent.
The report said product realizations for the food and beverage (F&B) segment are expected to grow in single digits with a marginal increase in prices of key raw materials.
However, prices of key raw materials for the personal care and home care sectors are likely to remain stable.
Ravindra Verma, director, CRISIL Ratings, said, "Revenue growth will vary across product segments and firms. The F&B segment is expected to grow 8-9 per cent this financial year due to improvement in rural demand. The personal care segment There is a possibility of an increase of 6-6 percent." 7 percent, and home care 8-9 percent.”
The report said FMCG companies will keep an eye on inorganic opportunities, which will help them expand product offerings.
It said continued improvement in the rural economy, which depends on monsoon and agricultural income, would be essential to generate stable demand.
The expected revenue growth in this financial year (2024-25) will be supported by higher volume growth due to revival in rural and stagnant urban demand.
The estimated growth of the FMCG sector in 2023-24 was 5-7 percent.
The report said product realizations for the food and beverage (F&B) segment are expected to grow in single digits with a marginal increase in prices of key raw materials.
However, prices of key raw materials for the personal care and home care sectors are likely to remain stable.
Ravindra Verma, director, CRISIL Ratings, said, "Revenue growth will vary across product segments and firms. The F&B segment is expected to grow 8-9 per cent this financial year due to improvement in rural demand. The personal care segment There is a possibility of an increase of 6-6 percent." 7 percent, and home care 8-9 percent.”
The report said FMCG companies will keep an eye on inorganic opportunities, which will help them expand product offerings.
It said continued improvement in the rural economy, which depends on monsoon and agricultural income, would be essential to generate stable demand.
