The growth in sales of fast-moving consumer goods has slowed down in April-June to 3.2 per cent, year on year, from 5.6 per cent in January-March, according to research agency AC Nielsen.
Growth of FMCG sales by volume and value has declined from 7.2 per cent and 9.7 per cent, respectively, in July-September 2015 to 3.2 per cent and 4.4 per cent in April-June 2016. Urban sales growth in April-June was 3.5 per cent, with none of the broad categories – food, non-food and over-the-counter pharmaceutical products – growing faster than five per cent, year on year. Hair oil sales shrank by 0.9 per cent during the quarter while toothpaste sales rose 0.4 per cent and shampoo sales rose 1.3 per cent. “Consumer sentiment is down and the cost of living has gone up. This has led to urban household budget cuts and smaller pack sizes,” said Pinaki Ranjan Misra, partner at consultancy firm EY India.