FMCG Industry in India

The FMCG industry in India is expected to grow between 4.5-6.5% in 2024, on the back of continued strength in the sector and the Indian economy.

Advantage India

Growing
Demand

*Indian food processing market size reached US$ 307.2 billion in 2022 and is expected to reach US$ 547.3 billion by 2028, exhibiting a growth rate (CAGR) of 9.5% during 2023-2028.

*In Q4 FY25, rural markets continued to outperform urban markets in the Fast-Moving Consumer Goods (FMCG) sector, with leading players such as Dabur, Marico, and AWL Agri Business (formerly Adani Wilmar) highlighting stronger rural demand, particularly in food categories.

*As per CRISIL, India's dairy industry is projected to experience a healthy revenue growth of 13-14% in FY25, driven by strong consumer demand and increased raw milk supply.

Attractive
Opportunities

*Increased rural consumption presents an opportunity for expanding distribution networks in tier-2 and tier-3 cities.

*The quick commerce market could reach between US$ 25 billion and US$ 55 billion by 2030, driven by an increase in high-frequency, high-value users.

*P&G views India as a profitable market driving mid-single-digit growth, supported by local production and R&D. P&G's India business crossed Rs. 17,094 crore (US$ 2 billion) in sales in FY24, competing with Hindustan Unilever while maintaining market leadership in sanitary napkins and shaving razors.

*FMCG giants are gearing up to capitalise on the heating Indian pet food market, driven by the rise in pet ownership and disposable income of owners.

Policy
Support

*The Union Budget 2025-26 provides a strong push to consumer spending, particularly benefiting the FMCG industry. The increase in disposable income, rural development focus, and MSME support create an ideal environment for growth.

*Union Budget 2023-24 has allocated US$ 976 million for PLI schemes that aims to reduce import costs, improve the cost competitiveness of domestically produced goods, increase domestic capacity, and promote exports.

*Union budget 2023-24 focuses on reviving rural demand by boosting disposable income, allocation to farms and higher fund allocation on rural infrastructure, connectivity, and mobility to create long-term jobs.

Higher
Investments

*Amul will set up the world's largest curd plant in Kolkata, West Bengal, with an investment of Rs. 600 crore (US$ 68.6 million), processing 10 lakh kilograms (KG) daily.

*Varun Beverages announced of investing Rs. 3,500 crores (US$ 421.69 million) to setup manufacturing plants, while generating 1,500 employment opportunities.

*In January 2023, ITC has announced plans to acquire 100% of Sproutlife Foods over a period of three to four years.

*Reliance Industries is focusing its FMCG strategy on India’s 600 million value-conscious consumers and aims to strengthen partnerships with local kirana stores by offering higher trade margins.

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Last updated: Aug, 2025

Emami

Emami Limited is one of the leading and fastest-growing personal and healthcare businesses in India with an enviable portfolio of household brand names such as BoroPlus, Navratna, Fair and Handsome, Zandu Balm, Mentho Plus Balm, Fast Relief and Kesh King. Established in 1974, it has a portfolio of over 300 products based on Ayurvedic formulations. Its current operations comprise more than 60 countries including GCC, Europe, Africa, CIS countries and the SAARC. Over 121 Emami products are sold every second somewhere around the world. It employs nearly 3,200 people, has a reach across 4.5 million plus retail outlets through a network of 3,200 distributors and has invested in eight plants, four regional offices, one overseas unit, eleven overseas subsidiaries, 31 distribution centres and one associate across India.

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ITC

ITC is one of India's foremost multi-businesses enterprises and is rated among the World's Best Big Companies, Asia's 'Fab 50', and the World's Most Reputable Companies by Forbes magazine. It is rated as 'India's Most Admired Company' in a survey conducted by Fortune India magazine and Hay Group. ITC also features as one of the world's largest sustainable values creators in the consumer goods industry in a study by the Boston Consulting Group. ITC has been listed among India's Most Valuable Companies by Business Today magazine. The Company is among India's '10 Most Valuable (Company) Brands' according to a study conducted by Brand Finance and published by the Economic Times. ITC also ranks among Asia's 50 best performing companies compiled by Business Week.

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Dabur

Built on a legacy of quality and experience of over 132 years, Dabur is today India’s most trusted name and the world’s largest Ayurvedic and Natural Health Care Company. Dabur India is also a world leader in Ayurveda with a portfolio of over 250 Herbal/Ayurvedic products. Dabur's current FMCG portfolio includes five flagship brands with distinct brand identities -- Dabur as the primary brand for natural healthcare products; Vatika for premium personal care; Hajmola for digestives; Real for fruit juices and beverages; and Fem for fairness bleaches and skin care products. Dabur operates in key consumer product categories like hair care, oral care, healthcare, skin care, home care and food. The Ayurvedic company has a wide distribution network, covering 6 million retail outlets with a high penetration in both urban and rural markets.

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