Ficci predicts 16 percent growth in FMCG salesMay 20th, 2008 - 6:51 pm ICT by admin
New Delhi, May 20 (IANS) With growing demand for higher lifestyle category products and increased affordability, the Fast Moving Consumer Goods (FMCG) industry is poised to clock a 16 percent growth in sales during 2008-09 compared to 14.5 percent in the last fiscal, an industry body projected Tuesday. The survey conducted by Federation of Indian Chambers of Commerce and Industry (Ficci) predicts the value added and aspirational products that spurred the sector growth last year would drive the growth further in fiscal 2008-09.
“Consumers’ preferences are shifting towards higher lifestyle categories like skin care, shampoos, deodorants, anti-ageing solutions, fairness products and men’s products in particular. The sector has witnessed the launch of 251 new products last year.
The survey covered about 28 consumer goods items.
The sectors projected to achieve excellent growth of 20 percent and above during 2008-09 are shaving cream (23 percent), skin care & cosmetics (20 percent), skin/fairness cream (22 percent), tooth powder (22 percent), shampoos (21.3 percent), anti-dandruff shampoos (23 percent), hair dyes (30 percent), hair care (30 percent), cleaners/repellants (25.2 percent), deodorant (40 percent) and dish wash (21 percent).
The high sales growth projection is due to sound economic fundamentals, increased literacy, rapid urbanisation, rising aspiration levels, growing consumer demand and increased affordability of the consumers which are increasing demand for lifestyle products, the survey said.
The FMCG industry is estimated to have logged a sales growth of 14.5 percent and has reached Rs.854.7 billion during 2007-08.
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