FMCG firms start seeing growth in urban India after months of Covid grief

December quarter shows improvement in sales from cities

Urban areas are beginning to show a sales uptick for fast-moving consumer goods (FMCG) companies, months after the Covid-19 pandemic hit cities the hardest due to their dense population and cramped living conditions.

Firms such as Hindustan Unilever (HUL), Marico, Dabur, Emami and Colgate have all said that urban sales have improved in the October-December period (Q3), the first time in four quarters. The revival comes ahead of analysts’ expectations, who were seeing an uptick in urban sales in FY22 as the vaccine rollout is made available to the general public. It currently remains restricted largely to healthcare workers.

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