The FICCI Survey reveals that the fast growing segments i.e. value added and aspirational products, which have spurred the growth of the FMCG during April-March 2007-08, are expected to drive growth further during the April-June quarter of 2008 and during April-March 2008-09.
Says the survey, "Consumers' preferences for FMCGs are shifting towards higher lifestyle categories like skin care, shampoos, deodorants, anti-aging solutions, fairness products and men's products in particular."
The sectors which are projected to achieve excellent growth of 20% and above during the first quarter of the financial year 2008-09, i.e April-June 2008 are -shaving cream (22%), skin/ fairness cream (21%), tooth powder (21 %), anti-dandruff shampoos (22%), hair dyes (30%), cleaners/repellants (24.5%), deodorant (40%), dish wash (20 %).
According to the survey, the sectors which are projected to achieve excellent growth of 20% and above during the financial year 2008-09, i.e April-March 2008-09 are: shaving cream (23%), skin care & cosmetics (20%), skin/ fairness cream (22%), tooth powder (22 %), shampoos (21.3%), anti-dandruff shampoos (23%), hair dyes (30%), hair care (30%), cleaners/repellents (25.2%), deodorant (40%), dish wash (21 %).
The sectors that are projected to achieve high growth between 10%-20% are: soap & toiletries (16 %), toilet soap (16%), fabric wash (13%), washing powder ( 13.5 %) detergent cakes (12.2 %), liquid detergent (14.2%), laundry soaps/ bars (11 %), personal wash (16 %), tooth brush (13 %), coconut oil (13 %), branded coconut oil (18 %),tooth paste (17 %), personal health care (16%), oral care (18%), feminine hygiene (15%).
The FICCI Survey projects higher growth across sectors in the FMCG segment in view of the growing economic fundamentals, increased literacy , rapid urbanization, rising aspiration levels, growing consumer demand and increased affordability of the consumers due to various incentives proposed in the Union budget 2008-09 including the major farm loan waiver scheme worth Rs 60,000 crore.
The substantial increase in the salaries and parks offered to employees in the corporate sector at regular intervals and the recent step taken by the government to raise salaries of government employees are helping consumers to be strong with increased demand for life-style products.
Increased consumer confidence would raise the expectation level of the industry and stimulate growth in the FMCG segment.
The range of products covered by FICCI Survey total to about 28 items including soap & toiletries, laundry soaps, detergent cakes, washing powder, dish wash, toilet soap, tooth paste, tooth powder, tooth brush, fairness cream, shaving cream, deodorant, coconut oil, shampoos, hair dyes, feminine hygiene, cleaners & repellents etc.
