OVERVIEW OF FMCG SECTOR IN

INDIA

RAGHAV THAKAR
FY- B Com
Division B
Roll No : 641
 FMCG SECTOR IN INDIA

• FMCG Sector is the 4th largest sector in Indian Economy

• India’s household and personal care is the leading segment,
accounting for 50% of the overall market. Healthcare (31 %) and
Food and Beverages (F&B) (19%) comes next in terms of market
share.
• Growing awareness, easier access and changing lifestyles have
been the key growth drivers for the sector.
• Rural FMCG Market expected to grow to USD 220 Billion by 2025 .
3 MAIN SEGMENTS OF FMCG
 POPULAR FOOD AND BEVERAGE PRODUCTS
1) HINDUSTAN UNILEVER :

2) ITC LTD :
 POPULAR HEALTHCARE PRODUCTS
• 1) DABUR INDIA LTD :
 POPULAR HOUSEHOLD AND PERSONAL CARE
PRODUCTS
1) GODREJ CONSUMER PRODUCTS :

2) PROCTER & GAMBLE

 GROWTH DRIVERS OF FMCG SECTOR

1. Shift to Organised Market

2. Increase in Penetration
3. Rural Consumption
4. Easy Access
1. Shift to Organised Market :
• Organised sector expected to grow with fall of unorganised FMCG
market owing to increased brand level consciousness
• Growth in modern retail will enhance growth of Organised FMCG sector

2. Increase in Penetration :
• Investment in this sector attracts investors as demand of FMCG products
lasts throughout the year .
• ITC to invest ₹ 700 Crore in Food Parks in Madhya Pradesh .
• As of February ’21 , among 39 Food Park projects , 22 are fully
operational ,15 under implementation and 2 are in process of approval .
3. Rural Consumption :
• Increase in rural consumption , led by increase in income and higher
aspiration levels .
• Increased demand for branded products
• Huge untapped rural market but with huge potential

4. Easy Access :
• Availability of products has become easier as Internet and different
channels have made accessibility of desired product to consumers more
convenient at required time and place .
• Online grocery stores and retail stores like BigBasket , Amazon , Flipkart
are ensuring FMCG products are readily available .