Market researcher Nielsen India on Tuesday maintained its annual growth outlook for India’s fast-moving consumer goods (FMCG) sector, which is reeling under a demand slump in both rural and urban markets, to 9-10% for 2020. In 2019, the sector grew 9.7% by value, due to weak quarterly growth rates in rural India.
“Full year 2020—we expect it to be stable and similar as compared to 2019—it will not dip further, that’s where we expect full year to land,” Nitya Bhalla, lead, data science, Nielsen South Asia, told reporters. “We are starting to see early signs of stability with the slowdown being arrested.”
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Nielsen expects inflation, which shot up to 7.3% in December primarily due to higher food prices, to decline in 2020.
“Inflation in December’19 reached a 5-year high at 7.3%. It is expected to end in the 4-5% range for this year,” Nielsen said in the eighth edition of the quarterly FMCG Snapshot.
Source: livemint
