FMCGs in investment mode

Firms are planning to push up brand-building effort and increase product prices in the future

As the 2016-17 financial year draws to a close, consumer goods companies appear to be putting disruptions — demonetisation being the biggest one — behind them.

While a recent Kantar Worldpanel report showed that fast-moving consumer goods (FMCG) sales growth by value had declined to 5.3 per cent in the December quarter, FMCG executives believe the road ahead will be smooth.

“Effects of the note ban are fading fast. Fourth-quarter numbers should reflect that trend. Above all, most companies are now focusing on being GST-ready, more so at the trade level,” Bharat Puri, managing director, Pidilite Industries, said on the