Consumer goods companies are supplying products, especially food, in higher quantities than before to distributors so that unexpected shutdowns in Covid-19 outbreak areas don’t disrupt supply chains and hamper distribution of goods to local stores.
Retail sales of ITC's Aashirvaad brand atta crossed Rs 6,000 crore in sales last fiscal, growing by over 30%, as per latest disclosure in annual report. This makes the brand one of the largest in the food segment in India. ITC's food business grew by 7.3% with gross sales of Rs 10,377.73 crore in FY20, as per the annual report.
India implemented the world’s biggest lockdown starting March 25 to curb the spread of Covid-19 and nationwide curbs were eased in phases from May onwards. However, states have been implementing intermittent lockdowns over the past few weeks that are disrupting supply chains and business cycles.
On April 30, Nielsen had slashed the growth forecast for the FMCG sector by almost half to 5-6 per cent for 2020 citing adverse impact of the pandemic. Though the FMCG industry has shown some sign of improvements in June, but in the first half of the year (January-June) the industry growth slipped to negative with 6 per cent decline.
The disinfectant soap brand saw its global sales surge 62%, with market share expanding 430 basis points in India as consumers stockpiled the product amid the coronavirus pandemic, UK healthcare and consumer goods maker Reckitt Benckiser said in an earnings statement on Tuesday.
However, the court has modified its earlier order of July 6 and has now directed Emami to give five days notice to HUL, if they choose to move for any interim relief in any other proceedings initiated in a civil court. The maker of BoroPlus and Navratna had also sought court’s intervention to grant it similar relief where HUL should inform the company if it also approaches any other court against the company for any further relief.
Amway has committed an investment of Rs 1,000 crore in India, which includes an investment of Rs 600 crore to set up its manufacturing facility in Nilakotai, Tamil Nadu. CEO Anshu Budhraja said Amway India's future strategy will entail both offline and online platforms with an increased focus on online.
The lockdown in India started on March 25, impacting trade channels, manufacturing and last-mile deliveries and shutting malls, restaurants, hotels, cinema theatres, travel and live events – key points of sales for impulse consumption categories such as soft drinks.