India’s fast-moving shopper items (FMCG) market has slipped in November as a consequence of worth cuts triggered by the GST charge modifications. All-India worth progress stood at 4.4% for November 2025, beneath October’s 6.8%, knowledge shared by retail intelligence platform Bizom exhibits.
Bizom doesn’t present quantity progress figures. It tracks worth progress throughout FMCG classes.
Slowdown Dynamics
Rural worth progress, in line with Bizom, was forward of general FMCG progress at 5.7% for November. However the hole between city and rural worth progress is as soon as once more widening, elevating considerations a couple of secure restoration in city areas. City worth progress stood at 2.5% for November, after reporting a pointy rebound of 6.3% in October. Final month, rural worth progress was 7.1%.
“The post-Diwali interval in November does have a tendency to indicate some weak point in demand. However this 12 months the worth progress numbers in November are depressed as a result of the GST-induced lower-priced merchandise have landed in shops,” Harshit Bora, analytics head, Bizom, stated.
Bora stated that the home FMCG market, particularly in city areas, might take a month to totally stabilise earlier than displaying a constant efficiency when it comes to progress charges. This level has been made by most different FMCG executives who level that the restoration in city areas might be gradual.
“Inflation has begun to stabilise within the second half of the continued fiscal. It’s softening regularly. Alongside this, the final Union Finances made essential modifications to revenue tax, which launched a big sum of money into the fingers of customers. I see customers having the means to fulfil their aspirations. This constructive development in FMCG will proceed into the second half of the present fiscal,” Manish Tiwary, CMD, Nestle India, stated.
GST as Catalyst
Tiwary additionally pointed to double-digit worth progress that the meals class is seeing, as decrease GST charges set off a virtuous circle of progress within the section. That is seen in Bizom knowledge, with packaged meals seeing a worth progress of 13.6% year-on-year in November after reporting a weak 2.7% progress charge in October. This is because of decrease product costs that has prompted a shift from unbranded to branded merchandise, Bora stated.
Executives reminiscent of Nikhil Sharma, MD, Perfetti Van Mella India, additionally see competitors rising in meals, as smaller, however organised gamers profit from GST tailwinds, very like bigger gamers have.
“Decrease GST will assist smaller gamers to broaden as a result of their innovation and freight prices will scale back. Going ahead, we anticipate competitors to accentuate in confectionary,” he stated.
In accordance with Bizom, classes reminiscent of goodies and confectionary, drinks and dairy merchandise reported a year-on-year worth progress of two.3%, 4.8% and 5.9% every in November, which is a combined efficiency for these segments versus earlier months. Whereas the expansion charge in drinks has rebounded in November after reporting a decline in October as a consequence of unseasonal rains, dairy merchandise and goodies and confectionary progress charges have slowed in November versus October. Final month, goodies and confectionery reported a progress of 10.1%, whereas dairy merchandise grew 18.6% versus the year-ago interval, Bizom stated.
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