ITC Limited says FMCG demand improving in India, no immediate slowdown seen

There are no immediate signs of a demand slowdown in the fast-moving consumer goods (FMCG) sector, and consumption trends in India are showing improvement, ITC Chairman and Managing Director Sanjiv Puri told CNBC-TV18, even as global uncertainties continue to pose risks.

Puri said recent policy measures and easing inflation in key categories have supported consumption. “We are seeing that after the government’s measures—income tax changes, GST rationalisation—and with benign food inflation, along with a pickup in public investments, consumption has improved,” he said. He added that volume growth has picked up compared to earlier periods, indicating a gradual strengthening of demand.

While acknowledging global headwinds, particularly from tensions in West Asia, Puri said there has been no immediate impact on domestic FMCG demand. “We are not seeing anything immediately that is dampening demand, but it’s still early days,” he noted, cautioning that inflationary pressures could play out with a lag as companies begin passing on higher input costs.

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