Trade Analytics
Consumer Markets
India’s FMCG industry is expected to grow at 12 per cent in 2016, reaching the sales figure of US$ 49 billion.

Indian Consumer Durables and FMCG Industry Analysis

Latest update: September, 2016

Consumer durables revenues have been growing at a healthy pace

  • In 2015, revenue from consumer durables sector in India stood at US$ 9.7 billion, which further increased to US$ 12.5 billion in FY16. 
  • Consumer durable market expected to grow at CAGR of 13 per cent from FY05 to FY20. 
  • Around two third of the total revenue is generated from urban population and rest is generated from rural population. 

 

Last Updated: August, 2015

The consumer durables market is expected to reach US$ 12.5 billion in 2015 and US$ 20.6 billion by 2020. Urban markets account for the major share (65 per cent) of total revenues in the consumer durables sector in India. There is a lot of scope for growth from rural markets with consumption expected to grow in these areas as penetration of brands increases. Also demand for durables like refrigerators as well as consumer electronic goods are likely to witness growing demand in the coming years in the rural markets as the government plans to invest significantly in rural electrification. 

The FMCG sector has grown at an annual average of about 11 per cent over the last decade.  The overall FMCG market is expected to increase at (CAGR) of 14.7 per cent to touch US$ 110.4 billion during 2012-2020, with the rural FMCG market anticipated to increase at a CAGR of 17.7 per cent to reach US$ 100 billion during 2012-2025.Food products is the leading segment, accounting for 43 per cent of the overall market. Personal care (22 per cent) and fabric care (12 per cent) come next in terms of market share. 

Growing awareness, easier access, and changing lifestyles have been the key growth drivers for the consumer market. The Government of India's policies and regulatory frameworks such as relaxation of license rules and approval of 51 per cent foreign direct investment (FDI) in multi-brand and 100 per cent in single-brand retail are some of the major growth drivers for the consumer market.

Sectoral Presentation (August, 2015)

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