India emerges as top bet for FMCG giants

Mumbai: In the wake of China's slowdown and the limited growth potential in mature markets, consumer multinationals are increasingly eyeing India as their top priority, according to executives attending the Barclays Global Consumer Staples Conference in Boston. Companies such as Mondelez, L'Oreal, Nestle, Colgate-Palmolive, Reckitt, Yum Brands, Unilever, Philip Morris, and Danone highlighted India's low consumption, rising incomes, and expanding retail ecosystem as a significant opportunity.

Jacek Olczak, CEO of Philip Morris, emphasized the scale and economics of the Indian market, while Brown-Forman's finance chief, James Peters, noted India's potential to follow Brazil's growth trajectory. Despite uneven near-term demand, the organized FMCG sector is projected to grow 8-10% in revenue in fiscal 2027, driven largely by price-led growth and moderate volume expansion.

For Colgate-Palmolive, India is a prime example of a market where per-capita consumption remains low, offering companies the chance to increase consumption frequency and promote premium products.