Tata Consumer Products' Strategic Approach Amid Food Inflation

Tata Consumer Products Ltd sees current food inflation as a temporary issue, expecting improvement over the next two quarters with a surge in consumer demand. The company focuses on maintaining volume momentum and market share, avoiding immediate price hikes. It aims for sustained growth, both organically and inorganically.

Tata Consumer Products Ltd (TCPL), a major player in the FMCG sector, views the current food inflation as a 'short-term blip' and anticipates a recovery in consumer demand within the next two quarters, according to Managing Director & CEO Sunil D'Souza.

The company, part of the Tata Group, is holding off on immediate price hikes, despite margin pressures, aiming to maintain volume momentum as part of its growth ambitions. D'Souza emphasized the company's commitment to achieving double-digit growth in both revenue and margins.

While acknowledging the impact of high food inflation on urban consumption, D'Souza noted a positive trend in rural demand. TCPL also reported significant growth in its e-commerce segment, and it continues to focus on expanding its distribution network and innovating within its product offerings.

(With inputs from agencies.)