Growth in FMCG demand in rural areas to be double digit - Indian Stock Market Tips|Commodity Market Tips|Equity Trading Tips

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Friday, 28 April 2017

Growth in FMCG demand in rural areas to be double digit

The rural demand for fast moving consumer goods (FMCG) will likely to have a double digit growth with a good monsoon.The real estate demand, particularly the residential segment, will start picking from July onward and the Group will focus on affordable housing segment. "If the monsoon is good, the agricultural economy is expected to grow 4 per cent and rural economy will grow little more as there are others parts of the rural economy. I expect the demand growth in rural India for FMCG products should be double digit".

last monsoon was good and demand in rural area for FMCG products has been quite good over the last year. Two monsoons prior to that were poor and that had impacted the rural demand. Input costs have come down in the last couple months. "Input costs are reasonably under control and I do not see much price increase in FMCG sector over the next 12 months,". low Goods and Services tax (GST) rates will be critical to the sector.

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