FMCG Industry Eyes Revival Amid Economic Challenges

The FMCG industry anticipates a consumption growth revival in 2025, driven by easing food inflation and increased government spending. Challenges in 2024 included high input costs and inflation, impacting urban demand. Rising trends like premiumisation and quick commerce offer new growth avenues in a transforming consumer landscape.

The FMCG sector is optimistic about a revival in consumption growth by 2025, despite headwinds like soaring input costs and inflation in 2024. Industry leaders point to signs of recovery, with green shoots visible amid easing food inflation and strategic government investments.

Key players including Emami, Dabur, and Tata Consumer Products, highlight the importance of premiumisation and quick commerce as growth drivers. Premiumisation reflects consumers' willingness to spend more on quality products, while quick commerce is transforming the grocery market landscape.

The adaptability of the FMCG industry to shifting consumer trends and economic conditions positions it favorably for future growth, with industry voices highlighting innovation, affordability, and availability as crucial elements for sustained expansion.

(With inputs from agencies.)